I love Obama, but he has to be the worst salesman ever when it comes to health care.
A lot of small businesses have balked at the idea of paying a "fine" of $750/year per employee who is not provided health insurance.
Has anyone bothered to run the numbers?
If an employer pays for health insurance, he/she likely pays at least $500/month per employee.
That means the "fine" is $437/month CHEAPER per employee.
But, let's say the small business never offered health insurance and is now out of pocket $63/month per employee. Let's say the small business has 10 employees. That would mean the employer would now pay $625/month extra that he/she wasn't paying before.
As someone who works in a family business with 10 or fewer employees, I can state that $625/month would go unnoticed. If we need 10 employees to keep up with customer demand, that means we're making enough money to easily pay $625/month.
If business is crappy (which it is currently is), we have 5 employees. That's $313/month for all the employees. Again, even during crappy times, we don't notice $313.
But, here's the thing: We actually offer insurance. Our monthly premiums are close to $6K. Our insurance covers vision and dental, and that's great. But, let's say our insurance was mediocre and ONLY cost $3K/month.
That means our "fine" could be a monthly expense of $313 - $625 per month, OR $3K-6K+ a month if we offered insurance. Clearly, the "fine" is a HUGE deal.
Yet, Congress is balking at small businesses paying this "fine" -- a "fine" which would cover everyone. And, Obama isn't explaining this fine to the people.
Remember the "For the price of a cup of coffee a day, you can feed a needy child" ads -- for 3rd World countries?
Well, for the price of a Cappuccino a day, you can make sure everyone is insured in our country.
There is just no way that a business can't pay $63/month per employee and respectfully call itself a business.
And, you don't need to fire anyone to do it. It's less than what you already lose in productivity by having sick employees and sick family members of employees.
There are many people who don't want to see any abortions. Neither do I. I'd love for every pregnancy to be a planned one. But, if the mom chooses to keep her baby, even if she's poor, isn't that worth $63/month to keep her and baby healthy?
Right now, Congress thinks small businesses with fewer than 25 people should be exempt from the "fines." But, we shouldn't be. We shouldn't be because we can afford it, and because it's the decent, moral thing to do. And, because it's 'just good business' to keep all employees and future employees as healthy and productive as possible.
So, to recap:
- The "fines" are a HUGE bargain
- Everyone gets covered
- We get "moral cred" for taking care of our own