All benefit greatly from health insurance which includes employees as well businesses found today. The opportunity to apply and get adequate insurance coverage isn’t something that everyone is able to hold of particularly to small business. With the emergence of ObamaCare however, it is now easy to provide individuals adequate insurance coverage today. Small time business owners though still have doubts and speculations on how their business will be affected by this act.
A penalty will be paid to those who do not purchase and provide the necessary health insurance for their workers under the Affordable Care Act or ObamaCare by 2015/2016. Those who comply with ObamaCare small business health insurance requirements are given nice incentives such as tax breaks and tax credits available via SHOP exchange. This applies well to small businesses that have an equivalent of 25 full-time employees or less. Small business isn’t totally affected by ObamaCare today since 90% of US firms have less than 20 full-time employees.
Small business today are having a hard time providing their employees with the much needed insurance coverage and one of main reason is the rising health insurance costs. With ObamaCare however, employers are tasked to insure their full-time employees in small businesses with 50 or more employees. As mentioned earlier, businesses with 25 or less full-time employees get good amount of privileges such as generous tax credits if they ever decide to make use of ObamaCare.
With the employer insurance mandate, business owners will need to start insuring their workers by 2016. This mandate is included and is officially part of the Employer Shared Responsibility. To those who did not provide or offer health coverage to their 50 or more full-time employees will be required to pay for an annual employer mandate fee. This is based on full-time equivalent employees and not just full-time employees. It should also be noted that unlike employer contributions to employee premiums, the Employer Shared Responsibility Payment is not tax deductible.
Full-time and part-time employees and identifying them can become a bit confusing with ObamaCare. Benefits should be provided to a person who works an average of 30 hours a week or more as they are already considered to be full-time. No employer insurance mandate needs to be applied for those who are averaging less than 30 hours a week.
It is always best to provide them with the necessary amount of protection throughout the whole course of their employment whether one has full-time or part-time employees. A boost in overall productivity as well as their morale is given with such coverage. Get additional information about ObamaCare when dealing with your business today.
Jeannie Monette enjoys writing reviews about insurance providers. For more info about California small group medical insurance providers or to find about Obamacare small business health insurance services, please check out the MercadoInsuranceServices.net site now.