6 Images Total
5 things advisers should know about Cadillac tax prep
Although Congress has delayed the ACA’s Cadillac tax for two years and many are hoping for its complete repeal, advisers and their employers should still be preparing for its impending arrival, experts agree. The tax, originally set to go into effect in 2018, places a 40% levy on high-cost employer-sponsored health plans ($10,200 for individuals, $27,500 for families). Here are five things to know about the tax, according to Brad Wolfsen, senior vice president of bswift.
1) The tax is still part of the law.
The delay is a big win for employers, for sure, Wolfsen says, adding that it’s important to note that none of the major presidential candidates support the Cadillac tax. However, until it’s repealed altogether, employers should stay tuned and continue to draw plan designs accordingly so they can be ready to comply, he says.