Bayse and Company

An independent and aggresive approach to group benefits.

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Keeping an eye on health care reform

The Patient Protection and Affordable Care Act (PPACA) was signed into law on March 23, 2010. One week later, the Health Care and Education Reconciliation Act of 2010 was signed, modifying certain provisions of the PPACA. The result is a massive bill of over 3,000 pages, and implementation will likely stretch into the next decade. Many of the provisions are unclear, and regulations are yet to be written. We will periodically update this page as more information becomes available. While the bill is extremely complex, we would like to begin with some information on key provisions that may impact your plan, your employees, and their families.

 

New for 2010: Tax Credit for Small Business

To qualify, an employer must (1) cover at least 50 percent of the cost of healthcare coverage for employees, based on the single rate, (2) have less than the equivalent of 25 full-time workers, and (3) must pay average annual wages below $50,000. The credit is worth up to 35 percent of small business premium costs in 2010. Please consult with your tax advisor, or visit www.irs.gov for more information.

 

Immediate Reforms

 

Delayed Reforms

Please note: "Grandfathered" plans may be exempt from certain reforms.

We will continue to provide you with updates on applicable regulations as they are announced.

 

 


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