Regulations

Mid-Size Companies Must Offer Coverage in 2016

By Robert Sheen | November 02, 2015
Mid-Size.jpeg

with 50 to 99 - workers, or - equivalents, will be required to Act-compliant in 2016.

Companies with 100 or more employees (or FTEs), have been subject to the mandate since the beginning 2015. in the 50-to-100 employees were given an extra year to prepare for the requirement. Those with less than 50 are currently exempt from having to .

Starting in 2016, all subject to the rule must to at least 95% their employees and to the employees’ dependents, including children up to age 26. They must also provide information to their employees and to the as required by the .

Employees are not obliged to enroll in the plan sponsored by their . They are required by the to have or pay a penalty, but are free to obtain their from the provider their choice.

However, individuals who buy through a federal or state are not eligible to receive subsidies to offset the that if such individuals were offered through their that meets and is within the meaning the . Consumers who don’t have access to -sponsored are eligible for the subsidies.

who fail to that meets standards for affordability and benefits can face an annual penalty $2,000 , minus the first employees in 2016.

If the fails to and one or more employees receives subsidies for purchased in a , the must pay a penalty approximately $3,000 for each receiving a subsidy.

For purposes the ’s “ ” provisions, a worker is a - for a calendar if he or she averages at least or 1 in a calendar .

A “- ” is a combination employees, each whom individually is not a - , but who, in combination, are to a - . For example, if two workers each average 15 work or 1 in a calendar , they are counted as one - .

Posted in Act, Affordable Care Act, Health Care Coverage, Healthcare, Regulations

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