The White House initiative expands Health Reimbursement Arrangements.
Karen Wischmeier, owner of Wischmeier Tax and Accounting in Scottsburg joined three other NFIB members from around the country at the White House recently to attend the announcement of an initiative that would expand Health Reimbursement Arrangements, offering more small businesses additional options to contribute to their employees’ healthcare costs.
For decades, small businesses have struggled to cope with the ever-growing costs of employee healthcare. When the Affordable Care Act became law, the costs of mandated benefits made offering insurance nearly impossible for small employers. One alternative is HRAs, which allow a business owner to set aside funds for an employee to purchase their own health plan. But that option was all but closed to employers until changes were made under the Trump administration.
At a White House ceremony on Friday, June 14, President Trump announced an expansion of HRAs, which will allow more small businesses additional options. That new rule was issued by the U.S. Departments of Treasury, Labor, and Health and Human Services.
“The Trump Administration’s expansion of access to Health Reimbursement Arrangements is a significant victory for small businesses and a meaningful change NFIB has long fought to achieve,” said NFIB President and CEO Juanita D. Duggan. “We are encouraged by this new HRA rule, which, combined with the administration’s earlier initiatives, will allow more small business owners additional options as they seek affordable, flexible, and predictable health care coverage for their employees.”
“Finding affordable healthcare has been very difficult for many people across Indiana, especially in the last two years. I’m so happy to see this administration making strides to improve the success of small businesses,” said Karen Wischmeier. “Being able to offer tax-free money through an HRA will help a small business remain more competitive with large corporations when it comes to finding employees. As a tax accountant I hear my clients continually talk about how much they struggle to remain competitive by offering benefits to their employees; this legislation is a step in the right direction and is an exciting win for small business.”
Karen Wischmeier was joined by NFIB members from Virginia, Maryland, and Pennsylvania.