September 7-- ObamaCare is gradually being implemented and will take full effect in 2014. Many companies and individuals are looking at their options and a benefits consultant from Macon says it's time to pay attention.
David Warren believes employers are weighing their options.
"Employers need to pay attention to the changes which are taking effect in 2014. There are financial penalties for not providing health insurance to their employees or providing unaffordable care with $2,000 per year per employee if the company employs more than 50 people," Warren says.
Warren says some companies will opt to pay the federal government penalty. "Paying $2,000 a year is a lot better than paying somewhere between $500 and $1,000 a month per employee," he observes.
Thre are also penalties for individuals.
"Employees need to pay attention as well as to what decisions their employers are going to make. There's going to be a lot of individual responsibility. The penalties for not having insurance for individuals start at $695 per year or 2.5 percent of income and that will increase with inflation. That also includes dependents and when you start looking at that for a family of three or four you have some very interesting numbers on an annual basis," Warren notes.
Warren also points out the feds will use the IRS to monitor payment of health insurance premiums.
"It's going to start with reporting on the W-2 form. The requirement in 2012 will be the value and if it's a fully insured program, we're looking at the value of the premium being reported to the federal government," he notes.