Employer Mandate Excise Tax (Page 275-276):
If an employer does not pay 72.5% of a single employee’s health premium (65 percent of a family employee), the employer will be obliged to pay an excise tax equal to 8 percent of avg. wages.
Small employers (measured by payroll size) have smaller payroll tax rates of 0% (<$500,000), 2% ($500,000-$585,000), 4% ($585,000-$670,000), 6% ($670,000-$750,000).
If it is economically feasible for the employer to opt out of paying premiums by paying this tax, could this lead to people potentially running the risk of their employer dropping from their existing plan to save the company money?
Answer by LoriKeet at 4:43 PM on Oct. 31, 2009
Answer by grlygrlz2 at 4:50 PM on Oct. 31, 2009
Answer by mancosmomma at 5:07 PM on Oct. 31, 2009
possibly yes, jobs are scarce. if they still are when/if it takes effect, then they may rationalize people will not quit even though essentially their pay just plummeted if they lose insurance. the policy my dh (company pays most) has for our family is worth a lot of $, i doubt the company is going to pay him the difference.
Answer by BandME at 6:18 PM on Oct. 31, 2009
Answer by amyrw at 10:12 PM on Oct. 31, 2009
Answer by gdiamante at 1:44 AM on Nov. 1, 2009
Answer by gdiamante at 1:45 AM on Nov. 1, 2009
Answer by LoriKeet at 7:38 AM on Nov. 1, 2009
Answer by SRiveroC at 5:42 PM on Nov. 1, 2009
Answer by grlygrlz2 at 9:40 PM on Nov. 3, 2009