In years past, it was common practice for small companies to offer Qualified Small Employer Health Reimbursement Arrangements (QSEHRAs) to employees.
Under these plans, companies reimbursed a portion of workers’ healthcare costs. The reimbursements were tax-free to employees and tax deductible for employers.
QSEHRAs can be used to reimburse workers for virtually any health-related expense (excluding non-prescription medication) and are a great option for small business owners unable to afford full coverage plans.
Unfortunately for Americans, Obama eliminated QSEHRAs with the (un)Affordable Care Act, and small businesses could no longer afford to offer health benefits.
That changed in 2017 with the implementation of the 21st Century Cares Act, a law that allows QSEHRAs as long as participants comply with some Obamacare rules.
A business can legally offer QSEHRAs if it has 50 or fewer full-time employees and if it does not offer any other healthcare plans.
A full-time employee is eligible to receive tax-free reimbursements through a QSEHRA if he/she purchases a healthcare plan that meets the minimum requirements outlined in the Affordable Care Act. Any employee receiving reimbursements through a QSEHRA cannot also receive Obamacare’s health insurance tax credits.
If you don’t receive any heath benefits from your employer, you may want to look for a physician who offers membership deals.
Here’s how it works: instead of paying a monthly premium to a greedy health insurance company, you pay a monthly membership fee to your primary care physician. Without third party interference, your doctor doesn’t have to charge co-pays or office visit fees. And he doesn’t have to waste time filling out paperwork for insurance companies.
At Vintage Direct Primary Care in Poulsbo, Washington, members can make same-day appointments with no charge. All services and procedures offered at the facility are covered by the membership fee. Patients receive lab tests and prescription drugs at wholesale prices and OTC drugs offered in-house cost less than their Walmart equivalents.
Author’s Note: What we are starting to see here is a shift towards free enterprise healthcare; i.e. a capitalist system that fosters competition and lowers costs.
The goal is to get the patient as close to the doctor as possible and have insurance cover the smallest amount possible. Employers should not be forced to pay for their employees’ health insurance, but should instead provide tax-free funds so that employees can buy their own health insurance.