Current and Upcoming Health-Related Benefits for Employers & Employees under the One Big Beautiful Bill Act (OBBBA)

benefits
Written By Hennrietta Smith

Effective Dates

  • 7/4/2025 - Tax Cuts & Jobs Act (TCJA) tax rate changes (from 1/1/25) become permanent

  • 1/1/2026 - Permanent enhancement to Employer-Provided Childcare Credit 

  • 1/1/2026 - Permanent extension to employer credit for Paid Family & Medical Leave

  • 1/1/2026 - Permanent extension to tax-free student loan repayment assistance under Coronavirus Aid, Relief, and Economic Security (CARES) Act 

  • 1/1/2026 - Increase of limits of Dependent Care Assistance Program (DCAP) to $7,500. 
    Note that expenses under this program are allowable only if they are incurred “to enable the taxpayer to be gainfully employed.”

  • 1/1/2026 - “Trump Accounts”: tax-free savings accounts for minors become available.

  • 1/1/2026 - Individual bronze or catastrophic insurance exchange plans are to be treated as qualified high-deductible health plans (HDHPs)

  • 1/1/2026 - Eligibility for Health Savings Accounts (HSAs) expanded to include Direct Primary Care (DPC) arrangements 

Hennrietta Smith
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