9.5%? Who Picked That Number? And Is Dependent Coverage Off The Table?

Under ObamaCare employers will face punishment if employee’s contribution for single coverage exceeds 9.5% of gross wages. If John earns $28,000, and pays $221.68 or more per month towards his single health insurance coverage, the employer is punished.

Employers may decide to charge each participating employee 9.5% of their gross wages to qualify for the group’s medical plan. That would protect the employer against government sponsored terror and give employees some skin in the game.  Thus the rise of Defined Contribution Plans in this country will grow as fast as brush fire in Bastrop, Texas.

We are aleardy seeing a move in the market towards this end. Defined benefit plans will become dinasaurs according to Fred and Barney.

  Continue reading 9.5%? Who Picked That Number? And Is Dependent Coverage Off The Table?