Dear Members,
With the Supreme Court's upholding of the Affordable Care Act there has been much discussion on how this legislation will affect small business. Over the next few months we will provide "plain English" information on how this complex legislation will affect you, the small business owner. The new law is being enacted in sections and most of the act's major requirements will kick in during the next two years.
A few things to note:
• If you have fewer than 25 employees you may be entitled to a tax credit equal to 35% of the premiums you pay, as long as you pay more than 50% of the insurance costs for your workers.
• If you do not provide coverage, you would be required to pay a $2,000 per worker tax penalty. There is concern that many business owners may opt to pay the penalty rather than offer coverage.
• You can "grandfather" a plan by keeping a plan you had in effect on March 23, 2010. This will exempt you from some of the reform changes.
An article on this topic is appearing in the Sept/Oct Fabricator. I've also listed some key resources below. A thanks to our insurance administrator, Industrial Coverage Inc., for providing some of the material listed below. The best "in-a-nut-shell plain English" guide I've seen so far is the Oxford/United Healthcare brochure listed below.
Sincerely,
Todd Daniel
NOMMA Executive Director
NOMMA Executive Director
Resources
Posts
