A&C Management Group Partners with Thatch for ICHRA Administration
A&C Management Group has partnered with Thatch to offer ICHRA (Individual Coverage HRA) administration as a flexible alternative to traditional group health coverage for employers of all sizes.
What Is an ICHRA?
An Individual Coverage HRA (ICHRA) allows employers to reimburse employees for individual health insurance premiums and qualified medical expenses on a tax-free basis. Employees choose their own individual health insurance plan; employers set a monthly reimbursement allowance. There are no minimum or maximum contribution requirements, and employers can vary allowances by employee class.
Who Can Use an ICHRA
Any employer, regardless of size, can offer an ICHRA. There is no minimum employee count. However, C-corporation owners can participate; S-corporation owners with more than 2% ownership, LLC members, and partners generally cannot receive tax-free ICHRA reimbursements - consult your tax advisor for guidance specific to your ownership structure.
Key Benefits for Employers
- Predictable, capped costs - you set the monthly allowance
- No minimum participation requirements
- Reimbursements are tax-deductible for the employer and tax-free for employees
- Works for businesses of any size, including those too small for group coverage
- Employees choose coverage that fits their individual needs
Thatch Administration
Thatch handles ICHRA administration including employee onboarding, reimbursement processing, compliance documentation, and IRS reporting. A&C Management Group serves as your advisor throughout the setup and ongoing management process.
Compensation Disclosure
A&C Management Group receives compensation from Thatch for ICHRA enrollments facilitated through our partnership. This does not affect the objectivity of our recommendations - we recommend ICHRA only when it is genuinely the best fit for a client's situation.