Tweet This

Tax Preference for Employer-Sponsored Insurance

Under the current tax code the amount employers spend on health insurance is tax deductible and not considered taxable compensations; similarly, employees’ contributions toward their premiums can be made with pre-tax dollars. Individuals purchasing insurance on their own do not benefit from the same preferential tax treatment.

Independent Payment Advisory Board (IPAB)

A board created by the Affordable Care Act to provide Congress with recommendations to constrain Medicare spending triggered if spending exceeds target growth rates.