Small business health care question

[Anonymous]

I have a question regarding this particular situation. When I joined my employer back in 2003 as a manager, I negotiated a few things. One of the items was health care. The employer was paying 75% of the single policy for all employees. But i was able to negotiate them to pay 75% of the family policy.

Since January 2014, my employer is saying they are not allowed by law to treat any employee differently for health insurance because of the new health care laws. So now, I'm having to pay a few hundred dollars more a month. I just wanted to see if anyone on here knows if that is true or if my employer is trying to pull a fast one by me.

I would appreciate any feedback. Thank you.

 

[Anonymous]

Multiple things need to be defined based on the small business part in your title.

Up front your employer has no legal obligation to cover your family. Companies offer health benefits that you decide whether or not to take. All they are required to cover by law in either 2015 or 2016 depending on the size of the company you work for is the employee. Right now for 2014, they don't have to even provide you with coverage but you by law must have insurance or be penalized. Family is an add on option that is normally covered by the employee.

1) Small business having less than 50 full time employees. Under the law small businesses and franchises of large corporations are not required to offer health insurance to their employees and will not be penalized if they choose not to offer coverage if they employ less than 50 full time employees.

2) Small businesses with 50-99 full-time equivalent employees will need to start insuring workers by 2016. Those with a 100 or more will need to start providing health benefits in 2015. This is the employer mandate that has been discussed over the past year that was delayed.

IMHO your employer used it as an excuse instead of saying we're not paying for the family anymore or due to the rise in cost the obligation needs to put more on you. In a business sense they are paying x dollars a year for people not on the payroll. They have no obligation to cover any of it. So if you want your family covered the burden falls on you. There is nothing you can do about it since family coverage has never been required by law.