Most of the ACA’s requirements only affect employers with over 50 full-time employees. But the IRS recently reminded employers that if you have close to 50 full-time (or equivalent) employees, or if your workforce size fluctuates during the year, you should take care when making your calculations to make sure you don’t end up failing to take the actions you need to. You’re also entitled to some benefits.
To determine your workforce size for the year, you would add your total number of full-time employees for each month of the year to the total number of full-time equivalent employees for each month of the year and divide by 12.
Health Care Benefit Options
If employers with 50 or fewer full-time employees like, they can purchase health insurance for their employees through the SHOP Marketplace. This can be a good option for small employers who want to offer health benefits to their employees.
Health Care Tax Credit
If you have fewer than 25 full-time equivalent employees with average annual wages of less than $50,000, you may be eligible for the small business health care tax credit if you cover at least 50 percent of your full-time employees’ premium costs and if you purchase through SHOP.
If You’re Self-Insured
Regardless of size, employers who provide self-insured health coverage need to file an annual information return reporting certain information. Self-insured employers with fewer than 50 employees file Forms 1094-B and 1095-B.
If you have questions about what applies to you and what you’re eligible for, feel free to give me a call at (864) 836-3136 and we’ll schedule a time to talk.