Category: Health Insurance
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Beware false security in duplicate health benefit plans
A reminder for health benefits enrollment season: Enrolling in two overlapping health plans will increase total premium cost but may not increase the amount of coverage. Current trends seem to indicate that more individuals are enrolling in duplicate health plans. This can happen when two spouses enroll for family coverage under two different employer plans,…
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A business resurrection as consumer value returns to employee benefits
Going back since more than 20 years ago to the late 1990s, I was licensed as an insurance producer in all 50 states and the District of Columbia. It was – and still is – tough to be called a small business compensation and benefits expert without also being an expert in insurance. I was…
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Caution for those receiving Premium Tax Credits: AVOID CASHING IN IRAs
The new federal law providing public financial relief during the corona virus pandemic also brings some serious hidden risks for people who receive public financial assistance with their health insurance coverage. Since health insurance would be unaffordable to many people without financial assistance from Medicaid or the Advance Premium Tax Credits, any change that threatens…
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25 Reasons small businesses choose HRA plans
Health Reimbursement Arrangements (HRAs) are praised for financial savings and flexibility
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Three changes to small business health plans for 2019
Small business employers who choose to offer health benefits to employees will find more options available in 2019 under rules proposed late last year for adaptation this year. The IRS and Treasury Department clarified that employers who meet other conditions will be allowed to offer reimbursement of individual health insurance on a tax-free basis. These…
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Don’t forget about the 2019 health insurance tax penalty in New Jersey
December 15 is the enrollment deadline to avoid a potentially hefty tax penalty in 2019. For residents of most states, the federal tax penalty for not having health insurance disappears at the end of 2019. This is known as the ‘individual mandate’. However, New Jersey residents are not off the hook. New Jersey residents are…
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Turn employee health expenses into tax savings
Small business employers who do not offer an employee health plan are missing out on valuable tax savings. These small firms may be understandably nervous about offering employee health benefits. Less than half of small firms even try. We’ve heard about high costs of medical care and health insurance that rise year after year. This cab be…
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Ignoring tax and insurance law is a big deal
The announcement today by Jeff Sessions that the U.S Justice Department will not defend parts of federal tax and insurance law related to health insurance is a big deal but not only for the reasons that most news reports (like this report from Reuters on the bizarre legal logic that the law is unconstitutional) are focusing…
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HRA for spouse of business owner?
(This inform is not updated to reflect 2019 proposed regulations so should be presumed to be partially obsolete). Can a business with only one employee – the spouse of the sole proprietor – be eligible for a Health Reimbursement Arrangement? I can not give that assurance but at least one popular tax speaker says that…
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Health insurance for illegal immigrants
Illegal immigrants pay at least $12 Billion each year more in wage taxes that they receive in social benefits that the rest of us take for granted. These workers come to the U.S. legally, typically on short-term work visas, with the understanding that they pay regular U.S. wage taxes but do not receive the same benefits…