474
edits
Changes
Jump to navigation
Jump to search
The Affordable Care Act and Small Business (view source)
Revision as of 17:57, 29 October 2016
, 17:57, 29 October 2016→How can small businesses alleviate the rising costs of healthcare?
==How can small businesses alleviate the rising costs of healthcare?==
Although small businesses that employ fewer than 50 full-time employees are not required to provide health insurance to their employees under the ACA, many do. These firms find themselves paying higher premiums as the cost of health insurance continues to rise. If small employers are unable or unwilling to pay the health premiums, they may be forced to discontinue their employer-sponsored healthcare coverage, and consequently, some workers might seek alternative employment to gain access to health coverage.
Small businesses that employ greater than 50 employees can mitigate increased costs by increasing employees’ deductibles, negotiating private insurance plan prices, or switching from a group plan to individual employer-sponsored options, such as Health Savings Accounts (HSA), Health Reimbursement Accounts (HRA), or direct primary care. [http://www.cnbc.com/2015/01/08/5-smart-ways-small-firms-can-slash-health-care-costs.html]
The SHOP (Small Business Health Options Program) Exchange, created by the ACA, provides another option for small businesses with fewer than 50 FTE employees. SHOP utilizes group plans and tax credits to offer lower healthcare costs and increased employer choice functions, by enabling employers to choose from a larger pool of available coverage options. [http://digital.library.unt.edu/ark:/67531/metadc501935/m1/1/high_res_d/R43181_2015Jan15.pdf]
