Joel Fox: Healthcare Funding Plan Bad For Small Business
This just in from Joel Fox, President of the Small Business Action Committee. We wanted to get it posted right away. Attention Assembly Democrats: This plan HURTS the economy! We urge a NO vote…
From Joel Fox…
Small and medium sized businesses will ultimately carry more than a “fair share” of funding for the health care plan now being constructed in Sacramento. The plan requires businesses to fund health care for employees according to a formula based on wages and social security payments. Other funding mechanisms are a tax on hospitals, mandated individual insurance and a possible doubling or even tripling of the cigarette tax. Under the business revenue formula, businesses up to $250,000 in payroll must cover their employees’ healthcare or pay 1% of payroll into a state run pool for healthcare. Those employers with payrolls of $250,000 to $1 million will pay 4%. From $1 million to $15-million the tax is 6%. Over $15-million the levy is 6.5%. However, there is no inflation escalator clause being discussed for the funding measure. If that doesn’t change, then as time goes on many small and medium sized… Read More