Business owners are becoming more creative with how they insure their employees.
Although the additional taxes don't come into effect until after the next Presidential election... I used to provide my employees with what would be considered a "Cadillac Plan".
They could see any doctor they wanted ... Get any treatment they wanted ... And policy requirements/approval amounted to giving the hospital or doctor their insurance card.
Crap ... The insurer would pay for airfare if necessary to see a specialist.
No doubt ... Coverage like that costs anyone a lot of money.
Additionally ... The ACA has targeted plans like the one I offered my employees with additional taxes.
Imposes 40% excise tax on the value of coverage exceeding $10,200 for individual coverage and $27,500 for family coverage ($11,800 and $30,950 for retirees and employees in high-risk jobs) to be indexed annually.
Family coverage threshold ($27,500 or $30,950) applies to single and family coverage under a multiemployer plan.
Coverage subject to tax include the value of the total premium for employer-provided accident and health coverage, employer and employee contributions to health flexible savings account (FSA), and employer and employee salary reduction contributions to health savings account (HSA).
Employer must calculate the tax and alert the coverage providers of the share each is responsible for.
I had planned on getting low level coverage for my employees ... And putting the extra money I now pay towards their better coverage in HSA's for their use if necessary to avoid the new taxes and still contribute more towards their healthcare ... But the Government won't allow that either and will tax the HSA's as well.
The only thing the new tax is attempting to do ... Is punish the people who can and are willing to provide more for their employees.
The government isn't looking out for your best interests ... It is penalizing those who do more ... And actually care more about the people who we have invested in.
The government doesn't want anyone to have any control over their healthcare decisions ... Unless they are willing to pay a 40% excise tax for having it.
As is ... I will not pay the extra taxes ... And will provide lower coverage.
I will take the money I used to spend on coverage and invest it ... Then use it to offset as much of the additional healthcare costs I can annually (at least until the money runs out) ... The employees are extremely upset with the changes.
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