The Non-Profit’s Guide to the Affordable Care Act and Group Health Insurance
Did you know that, according to the Council of Nonprofits, more than 10 percent of workers in the United States are employed by a tax-exempt nonprofit employer? If you are an employer at a nonprofit organization, then you already know how important health insurance benefits are to attracting and retaining employees. In this article, we will discuss why the Affordable Care Act matters to nonprofits, and the options available for group health insurance for nonprofits in New York City . And for more information about the general insurance and other types of coverage we offer nonprofits, please call us or browse our website.
Affordable Care Act Health Insurance Provisions
The Affordable Care Act makes health insurance more accessible and affordable for more U.S. employees. Under the Affordable Care Act’s shared responsibility provisions, employers with 50 or more full-time employees are encouraged to provide a minimum level of insurance to their full-time employees. Businesses that fall under this description but that do not offer health insurance to their full-time employees may incur a penalty.
Small Business Health Care Tax Credit
Tax-exempt nonprofits with fewer than 25 employees may be eligible to receive a Small Business Health Care Tax Credit. If the employer is paying insurance premiums for employees’ health insurance, then the employer can receive a credit in the form of a refund on quarterly payments to the IRS. The refund will be equal to 35 percent of the expenses paid by the employer towards employee health insurance premiums. It is possible to file for this credit retroactively if your nonprofit was eligible in past years, but the refund may be equal to 25 percent of the expenses paid for years 2010-2013.
Identifying the Best Options for Group Health Insurance for Nonprofits
Tax-exempt nonprofits with 50 or fewer employees are eligible to shop for and purchase health insurance through health insurance marketplaces online. In many cases, however, you can find a fantastic deal on group health insurance for your nonprofit by contacting Gross & Company. We have 90 years of experience serving nonprofit companies in the U.S.