The federal government is seriously looking at the possibility of providing a tax credit to companies that establish a wellness program for employees. The help would take the form of tax breaks to offset program costs.
A current U.S. Senate bill would give employers a substantial tax break for starting wellness programs. It’s called the Healthy Workforce Act. It calls for an employer tax credit of up to $200 per employee enrolled in a newly created wellness program.
For larger firms, there is the $200 credit for the first 200 employees and up to $100 per employee thereafter. To qualify for the full credit, your wellness program would have to feature four specific items:
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‣ Some form of Health Risk Assessments (HRAs)
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‣ Employee Education components (such as online tools and resources)
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‣ Behavior management programs (including items like smoking cessation, weight management, health coaches)
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‣ “Meaningful” participation incentives for employees to participate (such as lower monthly premiums)
Qualified employers would be able to claim the tax credit for up to 10 years after starting a wellness program.
The bill has enjoyed bipartisan support, but like many things in Washington, the parti disagree over how to fund the cost of the tax credit. At this time, it has been bogged down in committee.
