Many of our members have questioned the fact that the cost of medical coverage is now on the W-2 provided by their employer and they are wondering if they are now responsible for the tax on this amount.

First, in accordance with federal law, employers employing more than 200 employees MUST note on the W-2 the annual cost of health coverage for the employee.

YOU ARE NOT TAXED ON THIS AMOUNT!

As of now, in 2018, so called "Cadillac Plans" (based on cost: for example a $28,0000.00 plus premium for family coverage) is a cadillac plan that will have a tax added that would be paid by the plan sponsors (employer). It is unclear as to the impact of this tax on individual employees.

A lot can happen between now and 2018, so it is anticipated that changes will be made.

AGAIN, NO TAX IS REQUIRED.