The document analyzes healthcare costs and wages for employees over two years, 2013-2014. It finds that while average salaries increased slightly or moderately for lower-income (0.5% and 4.3%) and higher-income (4.2%) employees, healthcare costs rose more sharply - by 16.6%, 12.5%, and 8.2% respectively for the three income levels. Healthcare costs thus increased at a higher rate than wages for employees across all income levels examined.

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Wages|Healthcare Study
2013 - 2014
May 2016

2. 2HCMS Group | Copyright 2015, All Rights Reserved | Confidential
• Population: Employees (+ dependents) who were employed and continuously enrolled in a
health plan for the two years of Jan 1, 2013 - Dec 31, 2014
• Cost Calculation: Average health plan cost includes employer and employee costs for medical
and pharmacy services
Healthcare Costs vs Wages
by Income Level
Average Salary $24,599 $24,723 0.5%
Average Health Plan Cost $4,793 $5,590 16.6%
Average Salary $47,721 $49,754 4.3%
Average Health Plan Cost $7,329 $8,241 12.5%
Average Salary $123,367 $128,609 4.2%
Average Health Plan Cost $12,494 $13,516 8.2%
2013 2014
Percent
Change
Over $80,000
Income Level
Under $30,000
$30,000 - $80,000
Wages and Health Plan
Costs

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Healthcare Costs vs Wages
by Income Level
0.5%
4.3% 4.2%
16.6%
12.5%
8.2%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
Under $30,000 $30,000-$80,000 Over $80,000
Increasing Employee Wages and Health Plan Costs
2013 to 2014
Average Salary Average Health Plan Cost