A new tax credit from the Obama administration is set to help small business owners provide better health insurance plans for their workers. For some business owners, this tax credit may help them if they simply begin to provide health insurance for their employees, as many small-business owners do not have healthcare plans for their workers.
The tax credit should help small business owners afford the cost of providing health insurance as a percentage of the premiums they pay towards employee healthcare will fall under the tax credit for the tax years 2010 to 2013. It’s hoped that business owners will take this tax credit and time to tailor their business in a way that would allow them to provide health care for their employees permanently.
Many business owners often worry about the cost of healthcare and will not provide health insurance as a result. However, healthcare costs in an employer group healthcare plan can be affordable as the amount of risk for a policy will be spread out over a large number of people.
Also, small businesses that provide health insurance for their employees often find that their workers are happier and more loyal, seeing as how they know if illness or injury suddenly strikes they will be covered for any medical expenses they may incur. There are many small business owners that would argue providing health insurance is very beneficial for a company. It’s hoped that this tax credit will help those business owners who are providing health insurance and prompt more companies to seek out health insurance policies.