New WA Cares Long Term Care Tax

State will tax employees 0.58% to fund the first US public long-term care insurance program effective January 2022.

Residents will have up to $36,500 in long term care services once they vest in the program. The funds will help with the activities of daily living, such as bathing, cooking and taking medications. There is only one chance to opt-out, and the window ends November 1, 2021. Gary Franke manages the Bellevue Basin Pacific office and can assist with a private insurance policy here.

 

 

 

After 5 years out of state, all taxes are void.

To opt out, employees must have a private long-term care policy in place by November 1, 2021. After 6 months, you can cancel the policy and be permanently exempt from the new state payroll tax. Some residents will be exempt, such as 1099 employees, part-time workers, and self-employed business owners.

 

It takes 1-2 months to get a policy issued. It is crucial to apply ASAP.

Employees must provide proof of private insurance to employers by December 31, 2021. While Basin Pacific doesn’t offer this coverage, we have partners who do. For more information or to apply for private long-term care insurance, read Gary Franke’s article, Managing Broker at Bellevue’s Basin Pacific location here.

 

 

 

We Are Your Advocate

As your insurance partner, we are committed to act as an advocate to protect what’s in your best interest. Thank you for choosing Basin Pacific Insurance.

 

 

For more information on types of insurance, click here.

Should you have any questions regarding your current coverage or want further information on these points, Basin Pacific Insurance is here for you. Contact us today at [email protected] and your agent will be in touch shortly.