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ACA Employer Mandate Enforcement Delayed Until 2015


  04:21:30 pm, by MedBen5   , 313 words,  
Categories: News, Health Plan Management

ACA Employer Mandate Enforcement Delayed Until 2015

Businesses have just received a one-year reprieve from enforcement on the penalties for firms not offering affordable coverage to employees working more than 30 hours per week. Yesterday, the White House announced that it has pushed back until 2015 any penalties for the Affordable Care Act provision that would require businesses with 50 or more employees to provide health insurance.

Sometimes referred to as the “pay or play” rule, the mandate has met with criticism by many businesses, which objected to its requirement that they offer coverage to all “full-time” workers – defined under the health care reform law as those who work at least 30 hours per week – or pay a penalty.

In response to the complaints, the Treasury Department expressed its willingness to give employers more time to implement the requirement. “We recognize that the vast majority of businesses that will need to do this reporting already provide health insurance to their workers, and we want to make sure it is easy for others to do so,” wrote Mark J. Mazur, Assistant Secretary for Tax Policy, in a blog post.

Mazur added that the one-year postponement will allow the Treasury “to consider ways to simplify the new reporting requirements consistent with the law.”

Keep in mind that this delay does not affect other employer-related provisions of the ACA that are now or soon to go into effect, such as the Patient-Centered Outcomes Research Institute (PCORI) and Transitional Reinsurance Fees.

More guidance is expected to come out in the next week, and the MedBen Compliance Team will continue to monitor ACA activity and keep clients informed. In the meantime, clients with questions regarding this news may contact Vice President of Compliance Caroline Fraker at

Additionally, MedBen will update its Twitter stream (@MedBenTPA) with any additional clarifications over the next few days. The Twitter stream can be seen by following @MedBenTPA on Twitter.

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