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Accounting for Obamacare
Part One of a Two-Part Article
The Affordable Care Act (ACA), aka Obamacare, created the Small Business Health Options Program (SHOP), a part of each state's Health Insurance Marketplace, where small businesses with under 50 full-time equivalent employees can purchase group health plans starting Oct. 1st, 2013. In 2016, those with 100 full-timers or less can use the SHOP. On Oct. 27, 2013 The White House announced the website would not be available and employers would be required to file on paper and/or work with a traditional broker.
The small business owner is continually being placed in an untenable position without the ability to do any planning. An article published on the Health Affairs website on Oct. 16, 2013 indicated:
- 60% of small firms offered health benefits in 2012 and 41% of employees were enrolled in plans;
- Among firms not offering coverage, 75% indicated costs as the most important reason;
- When asked what the monthly premium for individual coverage was they could afford, it was below the current market average of $502; and
- 56% of small business owners currently providing health care were interested in the ability to offer employees a choice of health plans while paying a fixed cost, with employees paying extra for choosing a more expensive plan.
HealthAffairs.org, http://bit.ly/1aRENub.
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