One of the points John McCain has made about Barack Obama will be hurting businesses by tacking on an employer mandate on to health insurance coverage. As it turns out, this accusation is true, Obama would like to "mandate" employer coverage by letting businesses have the choice of providing health plans or paying their employees to purchase plans on their own.
The only thing is, Obama has not been clear on how much businesses will be made to pay if they choose not to provide benefits to their employees. It cannot be easily agreed upon as to the exact amount, but experts guess it would be between 3 ad 7 percent of a company's payroll. But that 3 percent is even a little scary to employers.
"If they do that, prices go up and employment goes down because nobody can absorb that," stated a business owner, in regards to the amount being close to 6 percent. Economists are guesstimating that close to 224,000 workers will be either laid off or facing lowered wages, says the New York Times.
In stark contrast to the Obama plan, Senator McCain would make it attractive for businesses to drop health benefits altogether. Under McCain's plan, group health insurance would no longer be tax-exempt - which means employer-sponsored coverage would be taxed for the first time in U.S. history.
One advantage is that McCain would give tax credits in the amount of $5,000, to assist people in getting their own coverage privately. So the bottom line is mandated or no health benefit costs. If we were to make an educated guess, we would presume that employers will be more likely to be in favor of McCain's health insurance plan. - 16089
The only thing is, Obama has not been clear on how much businesses will be made to pay if they choose not to provide benefits to their employees. It cannot be easily agreed upon as to the exact amount, but experts guess it would be between 3 ad 7 percent of a company's payroll. But that 3 percent is even a little scary to employers.
"If they do that, prices go up and employment goes down because nobody can absorb that," stated a business owner, in regards to the amount being close to 6 percent. Economists are guesstimating that close to 224,000 workers will be either laid off or facing lowered wages, says the New York Times.
In stark contrast to the Obama plan, Senator McCain would make it attractive for businesses to drop health benefits altogether. Under McCain's plan, group health insurance would no longer be tax-exempt - which means employer-sponsored coverage would be taxed for the first time in U.S. history.
One advantage is that McCain would give tax credits in the amount of $5,000, to assist people in getting their own coverage privately. So the bottom line is mandated or no health benefit costs. If we were to make an educated guess, we would presume that employers will be more likely to be in favor of McCain's health insurance plan. - 16089
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