BENEFITS

Growing BusinessBENEFITS

  • Back to quick summary
  • The Basics of the Affordable Care Act

    Game Plan

    In-Depth

    If Your Business Has Fewer Than 50 Employees

    Check if you’re eligible for tax credits. The small business Health Care Tax Credit can help you afford health care coverage for your employees, especially low- and moderate-income workers. You may qualify for a 50% credit off your health insurance costs if you:

    • • Have fewer than 25 full-time-equivalent employees (FTEs), and
    • • Pay average annual wages below $50,000, and
    • • Contribute 50% or more toward employees’ self-only health insurance premiums.

    To get this credit (which is subject to limitations), you need to participate in the Small Business Health Options Program, or SHOP (see below). You can claim the credit for any two consecutive taxable years beginning in 2014.

    Take advantage of the SHOP marketplace. Starting in 2014, you can access the new health care insurance marketplaces through the Small Business Health Options Program (SHOP) exchange. To enroll, you generally must have an office in the SHOP service area and offer SHOP coverage to all your full-time employees.

    Game PlanGame Plan

    Game Plan

    • Get more information about the Health Care Tax Credit from the IRS here.
    • For more information about SHOP, call the SHOP hotline at 1-800-706-7893 (TTY users: 1-800-706-7915) from Monday through Friday, 9-5 EST.