The US House of Representatives recently approved a new budget that will begin the dismantling of the Affordable Care Act. Despite the move, President-elect Donald Trump and the GOP have yet to give any detail on what will replace the soon to be past Healthcare law. Before we say goodbye to the ACA, we want to highlight two pieces of the healthcare law we’d like to see continue within its replacement. Under the ACA, if you a have a small business with under 25 employees the rules and regulations are unique. According to the SBA, the provisions include the following:
- Employer Payment Plans – Essentially an employer gives an employee additional money in his or her paycheck with which to purchase their own plan, thus placing the responsibility of having healthcare coverage on the employee.
- Limits on Flexible Spending Account Contributions – This places a cap, which is determined by the IRS, on how much an employee can have deducted from his or her paycheck each year in order to help cover medical expenses. This is important to small businesses because flexible spending accounts are an employer risk program.
90-Day Maximum Waiting Period – As of January 1, 201, the maximum waiting period for individuals eligible for health coverage is 90 days.