Park City, Utah (PRWEB) November 24, 2013
Today, Zane Benefits, the number one online small business health benefits solution, published new information on premium tax credit and employer coverage.
According to Zane Benefits’ website, as of 2014, massive premium tax credits will be available to certain Americans who purchase a plan through the new health insurance exchanges. Eligibility for the premium tax credits is pretty straight forward if employees are uninsured or purchase health insurance their own - it is based on income and household size. However, many employees how have access to employer coverage - either through their job or a family member's - have questions about if they are eligible for the tax credits.
The federal premium tax credits are available to eligible employees who buy individual coverage in a state health insurance exchange. The tax credits may reduce the amount they pay monthly for coverage. The premium tax credit is available to those whose 2013 household income is up to $45,960 for an individual and $94,200 for a family of four. To be eligible employees cannot have access to traditional employer coverage or government health coverage. The government bases the tax credit on the premium for the second lowest–cost Silver plan in the Marketplace, although a person can select any metallic level plan.
The amount of the premium tax credit varies on a sliding scale, depending on income. The premium tax credit acts as a cap on the amount employees will pay out-of-pocket for the insurance premium. Additional cost-sharing subsidies are available for those Silver enrollees whose household income ranges up to $28,725 (up to $58,875 for a family of four).
If employees qualify for a program like Medicare, Medicaid, TRICARE, Children’s Health Insurance Program (CHIP) or other programs, they are not be eligible for a premium tax credit on the Marketplaces. In some states, Medicaid eligibility is expanding to many more individuals. The new health insurance Marketplaces will help individuals determine eligibility for these government programs and will direct eligible applicants to these sites.
About Zane Benefits
Zane Benefits was founded in 2006 to provide a revolutionized SaaS (Software-as-a-Service) administration platform ("ZaneHealth") for defined contribution health care. The flagship software provides a 100% paperless administration experience to small businesses and insurance professionals that want to offer better health benefits without a traditional group health insurance plan at lower costs. For more information about Zane Benefits, visit http://www.zanebenefits.com.