Healthcare coverage is a valuable piece of employees’ compensation, and in recent years it has become more and more expensive. The calculus will change in 2014, when major elements of healthcare reform come into play. And even though we do not yet know what the equation will be, employers need to plan today for all of the possible calculations next year.
Is it worth dropping coverage? Will you need to improve coverage? Can you utilize more contract workers and fewer employees?
“It’s out there. Everyone is struggling with it,” Barnes Dennig Principal Steve Bailey said. “How are the employees going to react? How are employers going to react? It’s extremely important.”
The current issue of our Foresight newsletter includes an overview of the Patient Protection and Affordable Care Act, and Bailey and Director Tom Groskopf recently presented a more-detailed overview at a Barnes Dennig seminar, including a discussion of the changing requirements for employers.
Key Healthcare Compliance Topics Include:
- A credit for qualifying small employers who offer healthcare coverage
- Determining full-time equivalent employees
- Rules (and potential penalties) for large employers
- State healthcare exchanges
They also unveiled Barnes Dennig’s “pay or play” calculator, which is designed to help employers weigh the financial ramifications of offering qualifying healthcare coverage to employees or dropping coverage, shifting employees onto the state or federal exchange, and paying the penalty.
Click here to download the audio and slides from Bailey and Groskopf’s presentation
“The main thing to take away from this is that the rules are changing,” Groskopf said. “Rules change, businesses adjust. It’s a fundamental reality. You need to think about the adjustments that are necessary – if any; maybe in your setting they’re not – based on what might happen.”