Healthcare Insurance for Your Business
Employer sponsored health insurance premiums continue to rise with no end in sight. Essential Benefits can assist you in developing a cost containment strategy that goes far beyond stripping your plan design or raising your deductible. By installing an IRS-compliant Health Reimbursement Account (HRA), you can accomplish the following:
- Achieve budgeted costs for health insurance year over year.
- Maintain your employees’ benefits while offering them greater flexibility and choice.
- Provide spouses and children with access to health insurance at a much lower cost than available through a traditional group plan.
Individuals and Employer Sponsored Health Insurance
You can buy individual coverage plans for your employees if you qualify. Whether you get it through the Washington Health plan finder or directly from an insurance company, options are available to you. However, with this option you'll likely face higher payroll taxes and your employees will have to pay with their post-tax dollars. Not only that, but each employee must individually choose and enroll in their own plan, and when the open enrollment period closes on January 31, 2017, they'll be locked out of buying coverage unless they meet a Qualifying Event.
Washington Health plan finder Business
With only one employer sponsored health insurance carrier available statewide, this option doesn't leave you with any choices in the marketplace. Without having the ability to choose between multiple carriers, there's not much benefit to using the exchange. However, the only way to take advantage of the Small Business Health Care Tax Credit is through the shop exchange. To qualify:
- The maximum credit is 50% of premiums paid for small business employers.
- Requires that the employer pay premiums on behalf of the employees enrolled in a qualified health plan through the SHOP marketplace.
- The employer must cover at least 50% of the cost of employee-only health care coverage for each individual employee. You must also have fewer than 25 full-time employees and you must be paying them an average of $50,000 per year.
Traditional Group Plans
Few employers will actually qualify for the Small Business Tax Credit and the SHOP marketplace is extremely limiting as far as your employer sponsored health insurance options go. Plus, once the enrollment period comes to a close, you won't be able to offer benefits to new employees unless they meet the requirements for a Qualifying Event.
Some traditional group plans remove these limitations and others offer different options for coverage depending on several factors:
- A minimum employer contribution of 50% compared to the previous contribution of 75%. That's deducted pre-tax, which reduces your payroll tax burden.
- Some plans still allow for "classing out," but even if you're not an applicable large employer for this benefit, you may still be able to offer things like a manager-only plan with some limitations attached due to new legislation.
- Traditional group plans can often be started year-around.
“Throughout the entire process, Gordon has been extremely helpful, knowledgeable, and supportive in getting our team on a health benefits plan that works.”
“What a relief!! I was pretty stressed out about finding multiple health care policies for my family. Gordon swung into action and found the right plan for each of us.”
“Gordon Kushnik and Essential Benefits was able to break through the bureaucratic and tech red tape and help me get my acceptance.”