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Employer Mandate

Posted September 18th, 2018 in Employers, Producers

The Employer Mandate regulations refer to seasonal employees and seasonal workers, and yes, there is a difference. Let’s break this down as simply as possible by starting with a few refresher points.

Posted May 29th, 2018 in Employers, Producers
The Internal Revenue Service (IRS) recently released Revenue Procedure 2018-34 which includes details about the affordability percentage related to the Employer Mandate for the upcoming year. In 2019, coverage will be considered affordable if the employee’s share of the premium for self-only coverage is no more than 9.86% of their household income. As most employers don’t know the household income of their employees, three alternative safe harbor methods may be used:
 
Posted November 22nd, 2017 in Producers, Employers

The Internal Revenue Service (IRS) has updated its Questions and Answers website in regards to the Employer Mandate, and it appears they have started to send initial notices to employers who are subject to a penalty for the 2015 year (generally, this will be employers with 100 or more employees since transition relief was available in 2015 to employers with 50-99 employees).

Posted November 7th, 2017 in Producers, Employers

The Employer Mandate guidelines state that coverage is affordable when an employee has to pay no more than 9.5% of their household income (inflation-adjusted to 9.56% for the 2018 plan year) for self-only coverage which is offered, but which employers know the household income of an employee? As a result, there are three alternative methods that an employer can rely upon when determining if the coverage they offer is affordable. These methods are explained below and some general examples on how to apply each method have also been provided. Assume in each example that the employer has a calendar plan year for 2018.

Posted November 1st, 2017 in Producers, Employers, Individuals
As you may have heard, the Trump administration discontinued funding for the cost-sharing reduction subsidies (CSR subsidies). Critics of this move believe it will create instability in the Exchange and individual marketplaces. Political efforts to restore the CSR subsidies are underway, but it appears Republican leadership has some demands as part of those restoration efforts.
Posted September 26th, 2017 in Producers, Employers, Individuals

Spoiler Alert: The answer is no.

Senators Lindsey Graham (R-SC) and Bill Cassidy (R-LA) have been spearheading efforts to repeal and replace substantial parts of the Affordable Care Act (ACA). While there are many changes that the so-called “Graham-Cassidy” bill would make to the ACA, there are really three main themes that stand out:
 
Posted May 30th, 2017 in Producers, Employers, Individuals

Unless or until the Affordable Care Act (ACA) is repealed, the Individual and Employer Mandates remain intact, and earlier this month the Internal Revenue Service (IRS) issued some regulatory guidance pertaining to the two mandates for 2018.

Posted April 25th, 2017 in Producers, Employers

The Treasury Inspector General for Tax Administration (TIGTA) issued a report dated April 7th and entitled “Affordable Care Act: Assessment of Efforts to Implement the Employer Shared Responsibility Provision.” In other words, TIGTA issued a report about the efforts of the Internal Revenue Service (IRS) to collect Employer Mandate penalties.

Posted December 5th, 2016 in Producers, Employers
The U.S. House of Representatives recently passed a bill that is being referred to as the 21st Century Cures Act. The bill is expected to be taken up by the Senate this week, and the belief is the Senate will pass it as well. If passed by the Senate, it appears President Obama would sign the bill into law. 
 
Posted November 30th, 2016 in Producers, Employers
The Internal Revenue Service (IRS) issued Notice 2016-70 on November 18, 2016 which provides some relief to insurers, employers and other entities subject to ACA reporting requirements under Code Section 6055 and 6056. The Notice does not extend the due date of the filing requirement for the 2016 year, but it does extend the due date in which copies of the reporting forms must be provided to employees and individuals. The due dates are now as follows: