Small Businesses Concerned About the Future
Updated: Friday, August 2 2013, 10:14 PM EDT
With the U.S. Supreme Court upholding the Obama Administrations "Affordable Care Act," many businesses are concerned about the future.
At Rock Branch Mechanical, a heating and cooling company, the owner pays 100% of his employees health premiums. Under the Affordable Care Act, beginning in 2014, all businesses with more than 50 employees must offer some form of health insurance.
Rock Branch CFO worries how that mandate will impact his vendors. "If they don't have the health care coverage like us, they may have to increase prices, pass onto us, ultimately we may have to eat or pass on somewhere down the road."
If small businesses don't comply with the new legislation, they may be fined two to three thousand dollars per employee every year.
Supporters of the landmark legislation say it could trigger lower health care costs for everyone by requiring most Americans to have health insurance. The pool of insured healthy people would expand, making the overall risk pool less risky.
Still the uncertainty is what is keeping many small businesses from hiring and expanding, not yet knowing future health care costs and other tax implications.
Republicans still plan to repeal the Affordable Care Act.