Many companies are approaching the Affordable Care Act with caution and imagining that it will deal a large blow to their insurance budget. However, there are actually many reasons why the Affordable Care Act could potentially be good for business, especially when dealing with small businesses. Under the employers provisions in the Affordable Care Act, small businesses will gain tax credits in relation to their insurance coverage. This means small businesses will be able to maintain a good amount of coverage for their employees while still essentially being reimbursed by the government.
Subsidies will also be available to some small businesses, and these subsidies may help small businesses hire better and more qualified workers. Companies will also find that their employees will be getting better overall health care, which will ultimately affect their performance in positive ways and lower the amount of time that individual employees need to take off due to illnesses. Tax credits will be even greater for those going through an Insurance Exchange program, and many of these credits have already been in effect for a few years.
For more information about the Health Care Reform and how it will affect small and large businesses contact the experts at HR Solutions.