According to SHMR, 56% of US adults with health insurance provided by their employees said that health coverage is a deciding factor, and 46% said that health benefits were critical in choosing their current job. So, while it is crucial to offer benefits, it is a win-win for your small business and your employees despite the increased expenses.
Here are three ways offering health insurance results in your business eligibility for tax benefits
- Payroll reductions – setting up a section 125 premium-only plan means your employees can pay with pre-tax dollars.
- Employer-provided premiums for group health plans are tax-exempt.
- You can qualify for an added tax benefit if you have fewer than 24 full-time employees.
For more resources, visit Healthcare.gov to determine if your business can catch a break.
(Employees Are More Likely to Stay If They Like Their Health Plan (shrm.org))