It’s all over the news and possibly in the courts soon. Healthcare Reform will be signed into law today. What does this mean for small business and everyday people? Here’s a quick summary of what is in the bill. However there is a Compromise Plan that was passed by the House and needs to be debated in the Senate which can change what is in the current bill.
Here’s a breakdown of the current bill as it stands:
- If you have less than 50 employees, you will NOT be required to provide healthcare coverage
- If you have less than 25 employees and meet certain conditions, you may be eligible for a tax credit for providing coverage
- There will be ban on lifetime limits on coverage
- By 2014 states will be required to set up Small Business Health Option Programs (SHOP) - this will allow small employers to pool together to get better rates
- Dependant children can be coverage until the age of 26 (some states already have this)
- If an individual couldn’t get coverage due to a pre-existing condition – they may be eligible for subsidized high-risk coverage
- Starting in 2013 – families earning over $250,000 will pay an additional medicare tax of 3.8%
- Medicaid to be offered to those earning up to 133% of the poverty level
- In 2014 individuals may be fined (earning over certain income levels) for not having coverage
- In 2018 – tax on so-called “Cadillac” plans
- In 2020 – the “hole” in Medicare prescription coverage will be fixed
- Children cannot be denied coverage for pre-existing conditions
There is still a lot of political maneuvering going on so these items may change. Stay tuned for more details.
What are your thoughts – did it go far enough? Too far? Just right?