kasier.small.group.video
Pros & Cons, Options, Etc.

What’s better to cover my employees on a Group Plan and get the Section 106 deduction and possible tax credits if average wages are under $50k or just have each employee get coverage on their own?

Try this  Tool and see your options.  The tool shows ALL CA companies, it’s not Kaiser only.

Feds warn against Employers trying to drop sick employees and pushing them into the Exchanges – Covered CA  CA HealthLine 11.26.2014

Kaiser Small business health care reform advisor

Reasons to have employees get coverage on their own
Free Individual & Family Quotes

Lower Business Expenses – No Group Health Premiums

No need to budget for premium increases, either medical inflation or Health Reform Taxes and increased minimum essential benefits.

Less work for the HR Department.  Employees get coverage on their own, you don’t have to get  involved.

Affordability Issue 9.5% of employee coverage, not dependents.

Advantages – To get or keep your group plan
FREE Quotes

Health Coverage is the 2nd most important benefit to the employees and families, only after their paycheck.

Powerful tool for recruiting and retaining the best employees…. not the ones who want Medi Cal or heavy subsidies.

If your employees are on Medi-Cal, they might have to take the entire day off for Medical Services – Presenteeism

Section 106 Tax Deduction for Employer and NO INCOME to Employee.  Employee portion can be tax deductible with Section 125.

Better Pricing (Compare IndividualGroup)  and Provider Networks.

Small Business Tax Credit.

Use SHOP program to NOT coverage dependents, thus one can cover employees only and not affect subsidies for families under 400% Federal Poverty Level.

Insure Me Kevin.com Explanation 9.29.2015 .

 Check out related pages in Employer Mandate Section

Better Provider Networks in  Group Plans?

Subsidy Chart for Individuals

Instant Quotes for Group Insurance  or Just send us your census – Excel spreadsheet

Participation Rules –– SHOP is 70%  – There is also an annual open enrollment period when these rules are waived! 

Mandatory (Should) notice to give employees about Health Care Reform

Employer Tax Credit

Management Carve Outs where you only cover owners & managers, OK for dental, Long Term Care, but no longer allowed under §2716

More on offering Individual Plans in lieu of a group plan

How will providing coverage to your employees if you are a Small Business under 50 employees,
not mandated to provide coverage compare
to having each employee just get their own coverage?

Small Biz Employer

Employees on their own

Currently GUARANTEED issue and generally NO Pre X, under AB 1672 enacted in 1992 and AB 1083 effective 1.1.2014

Same in 2014

Covered CA Brochure on Advantages of EmployER Plans

No mandate for Employers under 50 employees

Mandate to have coverage on their own or thru Employer or pay Tax, up to 2.5% of income…

Premiums are FULLY Income tax deductible for EmployER and not considered income to employee.

Section §106 is the biggest break there is in the Tax Code, even more than Mortgage Interest.

Premiums deductible if over 10% of Income

Section 125 – Premiums paid by Employee are a full deduction, including Social Security & FICA

Additional Tax Credits for employees making less than $50k

Tax Credit (subsidy) for individuals making between 100 and 400% of Federal Poverty Level

No more Management Carve Outs?

Except Grandfathered Plans

     Other Taxes:

Saves Social Security Tax 6.2% from Employer

4.2% from Employee

FICA Unemployment Insurance UI Rate can go up to $434/year

State Disability Insurance 1%

Worker’s Compensation Discount

Congressional Budget Office Report  Page 19 – 22

Health Savings Accounts (HSA) where one can get a policy with a high deductible, and lower premium.  Then fund a special account like an IRA that is tax advantaged to pay expenses not covered by Insurance

 Same   Figure out the taxes?Turbo Tax Turbo Tax – Personal

Free Quotes for ALL Companies we write with, just like an Exchange NOW.

 Same

Buyers Guide (from a competitor Agent) but it’s good and well written.  We added the bookmarks

 Department of Insurance Guidehealth insurance info.net (writtenprior to Health Care Reform)

 

Quality Dividend CalculatorTM 2011, gives you a simple way to estimate how your choice of health plan will affect the productivity and absenteeism of your workforce.

When employees get higher quality care, they stay healthier, absenteeism drops, and productivity improves

Fewer Days Lost with Better Medical Coverage
Fewer Days Lost with better medical coverage

12.2012 only 3% of EmployER’s will drop coverage

Myth – Employers will stop covering employees /myth

benefit credits.com

 

Study shows paying fine saves $$$ politico.com/

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