Small-Business Employee Health Insurance
What does the new healthcare reform mean to small-business owners? Prior to the enactment of this legislation, roughly 46 percent of businesses with fewer than 50 employees provided healthcare to their employees. If you’re a self-storage owner with paid staff, it’s important that you understand how the legislation will affect you.
You can find an excellent summary and a link to the complete legislation on the website of the National Federation of Independent Business at NFIB.com. (Choose “Issues & Elections” from the top menu.)
There will be some adjustments ahead for us if the legislation stands as it’s currently written. For example, starting in 2012, one provision requires you to issue a 1099 at the end of the year for every business-to-business transaction of $600 or more; and the threshold appears to be cumulative. It may mean that if you have businesses or professionals renting units at your facility for a year at more than $50 per month, your accountant will need to get busy preparing those 1099s. Sounds like more fun for the small-business owner in the years ahead.
Despite the potential road blocks, the self-storage owner who perseveres and offer his employees health coverage will benefit in the long run by being able to hire and retain a superior work force than the one who simply lets employees fight for themselves. I remain optimistic that this is not the last we’ve heard about healthcare and small business before many of these provisions go into effect.
Jim Chiswell is the owner of Chiswell & Associates LLC, a provider of feasibility studies, acquisition due diligence and customized manager training for the self-storage industry. He has served for a number of years on the Inside Self-Storage Editorial Advisory Board and is a moderator for SelfStorageTalk.com, the industry’s largest online community. He can be reached at 434.589.4446; e-mail email@example.com; visit www.selfstorageconsulting.com.