Drafted by Elizabeth Raggio, JD The IRS has lowered the affordability percentage again – from 9.12% to 8.39% for plan years beginning in 2024. Meaning, Applicable Large Employers (ALEs) will continue to shoulder a greater burden of the employee premium for...
ALE CALCULATION TOOL USING LAST CALENDAR YEAR EMPLOYEES AND HOURS FOR WHICH PAY IS RECEIVED Next steps: Add ALL 12 months Total FT and FTE count and divide by 12 to determine average monthly FT and FTE Count for entire year. Round the final number down to a whole...
The 2023 affordability percentage that Applicable Large Employers (ALEs) use when determining whether their offer of coverage is affordable such that they are not subject to 4980H(b) penalty exposure is 9.12 percent of household income, down from 9.61 percent in 2022....
RE: Provider/Network/Health System Carrier, TPA, PBM, and Direct Contracting Gag Clause Prohibition Effective December 27, 2020 under CAA Title II Section 201 (Transparency) Submitted Attestation Due Date: December 31, 2023 and Dec 31st annually...
IF YOU HAVE HISTORICALLY FILED YOUR 1095/1094 FORMS BY MAIL . . . Effective 2024 for the 2023 tax reporting year, employers with more than 10 (ten) aggregate federal returns (W2, 1099, 1095) must file their 1095/1094 forms electronically (formerly 250 forms). **Note:...
An Applicable Large Employer (ALE) that does not offer coverage meeting certain requirements under Code Section 4980H may have exposure to an employer shared responsibility payment (ESRP). The ESRP amounts are indexed each tax year as shown in the table below and...
