Health Care Reform University

Jun 11, 2013

If you own a business, you have probably already began to wonder how your business is going to be impacted by Obama Care.  Here are just a few of the areas of the policy that could impact you in 2013.

ObamaCare Health Care Reform 2013

• Health Insurance Exchanges Open for low to middle income Americans to make it easier for them to shop for health insurance. Those making over 400% of the poverty level can shop on the exchange but will not receive tax credits or discounts. The insurance purchased on the exchange doesn't go into effect until Jan 1st, 2014.

• Tax credits, discounts on out-of-pocket costs, tax breaks and other subsides are available on the exchange. The help you get on the exchange is directly related to your gross adjusted income.

• There is a .9% ObamaCare Medicare tax on those making over $200k as an individual or $250k as a business or family. This accounts for somewhere between 1.5% and 4.2% of tax payers (these numbers are from recent IRS and census reports, 2% is often used as a rough and not inaccurate estimate. Most sources agree the number is under 3%. 3% is also the number of businesses making over this amount in taxable income).

• 3.8% Medicare tax on unearned income over $200 for individuals and $250 for families and businesses.

• $500,00 deduction cap on compensation paid to insurance company workers

• ObamaCare lays out new rules about the amount that can be contributed to an FSA. A cap of $2,500 is applied to reform FSA's and prevent individuals from overpaying and then needing to rush to use the money before it disappears.

• Part D Coverage Gap or "Donut Hole" reduction goes into effect

• Eliminates deduction for Part D retiree drug subsidies for employers

• increases (7.5% to 10%) threshold at which medical expenses, as a % of income, can be deductible)

For me, even some of these bullets were confusing.  That is why we worked with Frost Bank to bring you Health Care University on June 20th, 2013 @ 11:30.

Frost Bank will share important Health Care Reform policies and decisions that will face your business this year in order to be ready for 2014.  These decisions will impact your budgets, procedures, hiring and how you need to distinguish between full & part-time employees.  Come and learn what you need to do to be successful as these new policies are put into action.

Hope to see you there!

Bridget L. Brandt


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