Posts tagged ‘Health Insurance Exchange’

More Reading of the Health Care

Previously, I thought I was on the hook to pay 8% of wages only if I did not offer a health care option.  But it turns out that even if our company offers a health care option, we STILL owe the 8% if the employee chooses not to avail him or herself of the company plan.  From the legislation, page 145:

Beginning with Y2, if an employee declines such  offer but otherwise obtains coverage in an Exchange participating health benefits plan (other than by reason of being covered by family coverage as a spouse or dependent of the primary insured), the employer shall make a timely contribution to the Health Insurance Exchange with respect to each such employee in accordance with section 313.

Beyond the costs, the record-keeping requirements are staggering.  I have to keep track of how every employee chooses to get their health care, and have to pay different private and public agencies based on these individual decisions.  Beyond this, for my part time employees (which is everyone), the maximum amount I have to pay varies by the hours worked, meaning the legal requirement for employer health care contribution will vary from employee to employee, and may be different, and change year to year, for all 500 of my employees.

Most of my employees are either on Medicare (which presumably has been paid for with their lifetime Medicare taxes) or on a private retirement health plan.  I have been reading the plan for hours and have not figured out if I will owe money for employees on either of these programs.  Anyone with an insight into this is welcome to email me.