3501 Tully Road Suite B • Modesto CA 95356
(209) 526-3091 • (209) 526-2287

Beware of Penalties on Health Reimbursement Plans

on July 21, 2015

In the past, companies could give employees an allotment of money sufficient to reimburse them for their costs of buying coverage or a portion of it.

They found this to be less expensive and have less administrative costs than having a group insurance plan to manage. As long as the employees could show proof that these funds were being used for this purpose, the funds were excludable from taxable income for the employees. Alternatively, companies could pay the premiums directly.

This has, however, changed.

Unpleasant Tax Surprises for Some ACA Healthcare Enrollees

on July 06, 2015

Many classify the Affordable Care Act (ACA) as a health care law and that’s that.

Truth be told, the ACA is just as much a tax law as it is healthcare reform law.

Whether you call it the Affordable Care Act or Obamacare (they are the same thing), the law has stirred up all kinds of controversy – notably, marketplace enrollees who pre-qualified for subsidies applied against their monthly insurance premiums.


Clendenin Bird & Company, PC
3501 Tully Road Suite B • Modesto CA 95356
(209) 526-3091 • (209) 526-2287