Employers on the fence about whether to offer health benefits to employees in 2015 have some important decisions to make this month. That’s because open enrollment on the Affordable Care Act (ACA) health insurance exchanges begins Nov. 15.
The key question for employers: Does it make more sense to offer health benefits, or to pay the potential $2,000-per-employee penalty required under the ACA’s employer mandate play-or-pay provision? The mandate kicks in next year for employers (with more than 100 full-time equivalent employees) that don’t offer health benefits to 70% of full-time workers.
To help employers make that call, the Grant Thornton consulting firm has put together a useful article called “What to do about health care coverage and excise taxes.” It breaks down the factors employers should consider when making the play-or-pay decision.