Under the Affordable Care Act, a small business is defined as one with less than 50 full-time equivalent (FTE) employees. Small businesses are not charged penalties for not offering affordable health insurance to employees under the law.
If a small business chooses to offer group health insurance, it might qualify for a Small Business Health Care Tax Credit by offering insurance and paying at least half of the employee’s premium.
Because a small business is not required to provide insurance, you have a few options:
- Offer group health insurance using a small business tax credit
- Offer group health insurance if you don’t qualify for a small business tax credit
- Offer individual insurance plans to your employees (through AHIPE, sounds pretty good to us)
You can also read more about how the Affordable Care Act affects small businesses at HealthCare.gov.
Contact us for your complimentary review or call (404) 256-2171 and ask for Al Schiebel to see what option is best for your business.