Flexible Classes offer Employers Creative Options
Employers now can contribute as much as they want!
Employers can base eligibility for ICHRA for employees in seven different permissible classes:
- Salaried employees
- Hourly employees
- Seasonal employees
- Full-time employees
- Part-time employees
- Employees in different locations, based on rating areas
- A combination of the above classes
Employers must offer a particular class of employees either an ICHRA or a group health plan; they can’t offer both to the same employee. If an employee has health insurance through a spouse’s employer-sponsored plan, they can’t enroll in an ICHRA and use those dollars to pay for their spousal coverage.
Employers also do not have to reimburse for all health care-related costs if they offer an ICHRA. Employers can choose to just contribute towards premiums, or to allow you to use any leftover ICHRA dollars towards your deductible.
Open Enrollment the new 401k