First sign of Health Care Reform comes in mandatory fees
LITTLE ROCK (KATV) —
Many American households could be forced to pay additional taxes within the next year as part of the Affordable Care Act, especially for a fee that's aimed to raise $25 billion in three years.
The funds are to be used to cover additional costs for people with pre-existing conditions.
It's the beginning glimpse into an array of taxes and fees that could come with "Obamacare." This first one includes a $63 fee for every employee that a company provides insurance benefits to, a tax that could be passed down, to you.
It's a dose of medicine expected to hit 190 million Americans that are already covered by health insurance.
"As they roll out and true cost behind the coverage are known, 30 million people getting coverage that didn't get it before, that costs a lot of money and somebody has to pay for it," said Mike Stock, president and CEO with QualChoice Insurance.
Stock understands quite well the costs coming to not only people with insurance, but the employers that provide it.
"It's going to affect small employers more because it's harder for them to continue to afford the cost of health insurance," he added.
"Not a single month goes by that we don't see some small company that opts to drop coverage rather than continue to pay for it."
Mike Sells with The Sells Agency told us he gives what the government defines as a "Cadillac insurance plan," to his employees. He's just one of the many small business owners who could be making some adjustments to his company.
"Since you can't make an adjustment on the fees or the taxes, you have to make an adjustment somewhere else," Sells said.
"That's going to be on, ok are we either not going to hire as many new people as we planned, or not going to hire any new people, or we're going to cut back."
Personally, Sells understands what the money is going to.
"We have a really good healthcare system, but there's too many people who haven't had access to it. Getting those people access is important," he said.
Fees for each person will be due on January 1st of 2014.
It's designated as a three-year plan that would require a smaller amount each year.
The fee due in 2015 could be around $40 and go down from there.