Costs, penalties and other attributes of health insurance are a moving target, particularly after Election Day. Throughout the race for the White House, President-Elect Donald Trump said he would repeal and replace the Affordable Care Act on his first day in office. Although his 100-day plan does, in fact, target the legislation, analysts say it’s unclear whether he will be able to completely repeal and replace it.
Tax credits and penalties are another unknown. As of 2016, qualified people could receive a tax credit for insurance purchased through the government marketplace. The credits are intended to offset the cost of purchasing coverage. Meanwhile, people who aren’t insured face penalties. Both credits and penalties could be abolished by either Obama or Trump, says Paul Neiffer, CPA and principal at CliftonLarsonAllen.
“Both the House and the Senate, with approval from Obama, have recently passed legislation (21st Century Cures Act) that would eliminate the penalty on employers who reimburse employees for qualified medical expenses, including health insurance premiums,” Neiffer says. “Although many farmers may have already gone through the hassle of adjusting employee wages to compensate for lost reimbursement plans or underwent some policy or other changes within their farming entities to stay compliant with the ACA, this is a big win for small employers.”