- 8,448
Headed to medicare 4 all.
Breaking Up Small Group
- Thread starter SamIam
- Start date
I'm with you...that's exactly where I think we are headed
Happy Texan
Expert
- 87
I understand the private exchanges have individual policies
Are you saying the employer contributions are not legal?
What if they were after tax?
Don Levit
Everyone here is correct about the issue of the $80 being a raise in salary (taxable), and the employer cannot require them to buy insurance with it.
With a small group, you may not run into discrimination issues, but with a group of 37, it is more likely that you would have classes of employees who perform the same duties, so giving one $80 and not the other might turn into a discrimination nightmare. The employer will probably have a finger on the pulse of that issue, and know if the job junctions are so similar that it would be discriminatory to give some $80 and not others. The employer would probably also know if quite a lot of those folks could access subsidies, and therefore be better off.
Also, be wary with a group of 37, because it is likely that part-time employees may cause the count of "full-time equivalents" to rise above 50, at which time they may want to provide group insurance again.
With a small group, you may not run into discrimination issues, but with a group of 37, it is more likely that you would have classes of employees who perform the same duties, so giving one $80 and not the other might turn into a discrimination nightmare. The employer will probably have a finger on the pulse of that issue, and know if the job junctions are so similar that it would be discriminatory to give some $80 and not others. The employer would probably also know if quite a lot of those folks could access subsidies, and therefore be better off.
Also, be wary with a group of 37, because it is likely that part-time employees may cause the count of "full-time equivalents" to rise above 50, at which time they may want to provide group insurance again.
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