A common question is "will offering a standalone HRA in 2014 prevent employees from obtaining individual premium tax credits?" The answer is no. Employees who receive a standalone Health Reimbursement Arrangement (HRA) benefit can still access premium tax credits, as long as they meet other eligibility criteria based on household size and income. This is because an HRA does not consitute an "eligible employer-sponsored plan". In other words, offering a standalone HRA to employees does not disqualify them from the individual preminum tax credits.

Last week the Centers for Medicare and Medicaid Services (CMS) released a set of frequently asked questions on the Small Business Health Options Program (SHOP)-only marketplaces. The SHOP Marketplaces are the small business group health insurance exchanges required in each state per the Affordable Care Act (ACA). 

With health care reform, a common question is does my employer have to provide health insurance? Not necessarily. The health care reform law, called the Affordable Care Act (ACA), requires certain employers to purchase health insurance or else pay a tax penalty.

In Part 2 of our Q&A on Health Care Reform and Defined Contribution (see Part 1 on Defined Contribution and Health Care Reform), we'll summarize the most common health care reform questions on health insurance exchanges, health insurance trends and navigators.

The Patient Protection and Affordable Care Act (PPACA) was signed into law on March 23, 2010 and over the last three years we've aimed to provide a wealth of information about how health care reform impacts defined contribution, Health Reimbursement Arrangements (HRAs), employers, insurance professionals, CPAs, and employees.

Last week we provided a list of HRA frequently asked questions (FAQs) for employers to consider as they set up a Health Reimbursement Arrangement (HRA). This week, we're providing a list of the most frequently asked questions by employees.  These are compiled from our help and support center for our employees and employers. 

Starting in 2014, the Individual Health Insurance Marketplaces will make it simple and more affordable for employees to get health insurance that can't be canceled or denied because of a pre-existing medical condition. Read on for Frequently Asked Questions regarding the individual health insurance marketplace.

Nearly three years ago, the President signed the Affordable Care Act into law. As a result, your small business could be eligible for a health care tax cut in 2013. Here are some FAQs to help small businesses determine if they are eligible for the credit this year.

Employers are allowed to use Health Reimbursement Arrangements (HRAs) to reimburse employees tax free for individual health insurance premiums, similar to the way employers contribute on a tax free basis to group premiums. This has been clarified with the release of numerous U.S. Treasury and State publications spelling out how employers can use HRAs for tax-free reimbursement of the premiums paid for personal health insurance policies. See "Insurance Premiums" in IRS Publication 502. Also see IRS Publication 969.

1. As an employer, do I need to do anything in 2012 now that this is law?

The employer requirements for offering coverage and liability for penalties do not begin until 2014 and only apply to firms with 50 or more full-time employees.  All of the details are not yet known, and action by several federal agencies is required to further define some of these requirements.  Click here for quick guide to the employer penalties.