W-2s list cost of providing a Health Plan

It is going to be a surprise, maybe even a shock when workers open their W-2 forms this
months, many will see a new box with information on the total cost of employer-sponsored
health insurance coverage. 

Workers ofter have little idea how much they and their employers are paying for coverage.
In a lot of cases workers give up cash compensation to get and keep health benefits.

The 2010 health care law that requires the disclosures of this information are meant to
make workers more cost-conscious. Health benefits are still tax-free. But some labor
unions and employer groups say it could be easier to tax them in the future, now that
employers must report their value to the government.

The new information appears in Box 12 of the standard W-2 form, with a two-letter code,
DD. The box shows the "cost of employer-sponsored health coverage" And that amount
is not taxable, the Internal Revenue Service says on the back of the form.


Sincerely,
Tom Caress
760-413-9749
medicareplansdirect.net