Small and medium businesses are the unsung heroes of the American economy. In 2010 there were more than 27.9 million small businesses in the United States. Fifty-four percent of small businesses account for 54% of all U.S. sales driving our economy and NH SMB Employers. Many of these SMB’s get bogged down by the total cost of health insurance and often have to foot the entire bill. Small business contributions help spread out the cost between employees and employer. That often makes it much easier and affordable for both parties to have essential coverage. Here’s how ACA contributions work for NH SMB Employers.

It Starts With The Affordable Care Act
The ACA (Affordable Care Act) or also known as Obamacare. The ACA states that employers need to offer health insurance plans that have the minimum coverage and value rules declared by the ACA. You can read more about the ACA here.
How Much Do Employers Pay For Health Insurance?
The Kaiser Family Foundation found in 2015 that companies contributed an estimated eighty-two percent towards premiums. This eighty-two percent was toward single person insurance and seventy-one percent towards family health insurance. Here’s a breakdown on what an employer contribution looks like:
Joe works for you at your hardware store. He has Gold HMO health insurance, and his premium cost $250 per month.
Monthly Health Insurance Premium $250
Your business pays: $220
Joe (your employee) pays $30
That means that each pay period, Joe will have $30 subtracted from his gross wages.
Let’s say you have four employees on your team and your company pays a portion of their health insurance.
Monthly Health Insurance Premium $1,000
Your business pays: $880 combined
Joe, Susie, Ray and Bob each pay $30
If one of your team has a higher premium, then the numbers would adjust depending on how much your business decides to chip in on the premium.
Helping your employees with their premiums is great, but when you are doing your NH Payroll, you don’t want to get it wrong. The ACA rules are being adjusted each year. Are you up to date with the current regulations for payroll with your company? These next four years are going to prove to be interesting with President Trump already landing the first blow to the ACA on January 20, 2017. Here’s what he signed an executive order.
Check-write payroll has years of experience in working with NH SMB Employers on payroll deductions. Don’t let your payroll get out of hand, give us a call to a free quote. We love working with small businesses in the Upper Valley region.