Iowa Exchange Act Promotes Premium Only Plans
Reforms occurring on the State and Federal level have increased the use of strategies like the Section 125 Premium Only Plans and made them more beneficial and accessible. Iowa legislation has put several new policies into motion, trying to preemptively compensate for the Federal requirements that the Affordable Health Care Act will bring to the US over the coming years. All the Iowa legislative changes can be read about and explained in the Iowa Insurance Exchange Act. This plan, once started, attempted to provide health care to a larger range of people and offer state assistance to smaller companies willing to comply to the IRA Section 125 Premium Only Plans.
This Iowa Choice Insurance Act was built off a previous Iowa reform policy. Originally the Act, signed on May 13th 2008 by Governor Chett Culver, called for a health reform in which universal health care was pursued. Only a year later, in May of 2009, legislature crafted the Iowa Choice Insurance Exchange. This health program, called the Iowa Choice, was to offer coverage at three levels to children less than 19 years old with family income larger that 300% FPL and to adults and families who were not able to get coverage through public programs.
DOES THE IOWA HEALTH REFORM HELP EMPLOYERS?
Certainly! Employers have many great benefits to look forward to as there will be rewards and breaks coming from Federal enactments and the Iowa Exchange Act. With the Affordable Health Care Act, businesses with 25 or fewer employees already enjoy eligibility for tax credits worth up to 35% off their choice health care premiums. These tax credits are encouraging a greater number of small businesses to use employee health care. This tax credit will jump to a maximum of 50% in 2014! Section 125 Premium Only Plans are encouraged by legislature and the Health Care Coverage Commission. The Exchange Act requires the Commissioner of Insurance to assist businesses employing up twenty-five individuals who choose to subscribe to section 125 Premium Only Plans and assist in the administration of section 125 plans.
Both Full or part time Iowa Employees are eligible to enjoy the tax free benefits of section 125 POP plans. Participants add to their premiums through the portion of gross income they choose to contribute through pre-tax salary reductions. The contributions are deducted before regular State and Federal taxes are deducted, rendering the contributions tax-free and increasing employee take-home pay, on average, $100-$300 per month. Employers subscribing to a section 125 premium only plan save 7.65% in matching FICA taxes as a result of the tax-free nature of the contributions.
Iowa employers interested in taking advantage of the legislative assistance promised by the Iowa Exchange Act should consider Taxfreepremiums when pursuing their section 125 premium only plans. Taxfreepremiums is the premier authority on all POP plan services and information. Between handling all initial POP plan set up procedures, automatic plan updates throughout the year and free nondiscrimination software, Taxfreepremiums ensures that employers remain fully compliant while receiving the maximum amount of tax-savings their POP can provide. For more information, feel free to visit http://www.taxfreepremiums.com/
This Iowa Choice Insurance Act was built off a previous Iowa reform policy. Originally the Act, signed on May 13th 2008 by Governor Chett Culver, called for a health reform in which universal health care was pursued. Only a year later, in May of 2009, legislature crafted the Iowa Choice Insurance Exchange. This health program, called the Iowa Choice, was to offer coverage at three levels to children less than 19 years old with family income larger that 300% FPL and to adults and families who were not able to get coverage through public programs.
DOES THE IOWA HEALTH REFORM HELP EMPLOYERS?
Certainly! Employers have many great benefits to look forward to as there will be rewards and breaks coming from Federal enactments and the Iowa Exchange Act. With the Affordable Health Care Act, businesses with 25 or fewer employees already enjoy eligibility for tax credits worth up to 35% off their choice health care premiums. These tax credits are encouraging a greater number of small businesses to use employee health care. This tax credit will jump to a maximum of 50% in 2014! Section 125 Premium Only Plans are encouraged by legislature and the Health Care Coverage Commission. The Exchange Act requires the Commissioner of Insurance to assist businesses employing up twenty-five individuals who choose to subscribe to section 125 Premium Only Plans and assist in the administration of section 125 plans.
Both Full or part time Iowa Employees are eligible to enjoy the tax free benefits of section 125 POP plans. Participants add to their premiums through the portion of gross income they choose to contribute through pre-tax salary reductions. The contributions are deducted before regular State and Federal taxes are deducted, rendering the contributions tax-free and increasing employee take-home pay, on average, $100-$300 per month. Employers subscribing to a section 125 premium only plan save 7.65% in matching FICA taxes as a result of the tax-free nature of the contributions.
Iowa employers interested in taking advantage of the legislative assistance promised by the Iowa Exchange Act should consider Taxfreepremiums when pursuing their section 125 premium only plans. Taxfreepremiums is the premier authority on all POP plan services and information. Between handling all initial POP plan set up procedures, automatic plan updates throughout the year and free nondiscrimination software, Taxfreepremiums ensures that employers remain fully compliant while receiving the maximum amount of tax-savings their POP can provide. For more information, feel free to visit http://www.taxfreepremiums.com/
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