So you heard the Employer Mandate is Delayed…Myth vs. Fact: 4 ACA Responsibilities you still need to prepare for.

MYTH — I DON’T NEED TO COMMUNICATE ANYTHING TO MY EMPLOYEES

Written communication and education of the existence of an exchange, contact information for the exchange, and the services provided by an exchange for all employees is STILL REQUIRED BY LAW prior to October 1, 2013. (PPACA Sec.1512)

MYTH — THE GOVERNMENT WILL NOTIFY ME WHEN MY EMPLOYEES QUALIFY FOR A SUBSIDY. 

You will NOT be notified of who does and does not qualify for a subsidy, and you ARE subject to a tax on the subsidy starting in 2015. Plus, once an employee gets their insurance subsidized he or she INSTANTLY BECOMES A PROTECTED CLASS OF EMPLOYEE BY OSHA. OSHA’s Whistleblower Protection Program protects employees who report violations of health insurance reform to the government. Protection from discrimination means that an employer cannot retaliate by taking “adverse action” against workers, such as firing or laying off, blacklisting, demoting, denying overtime or promotion, and reducing pay or hours. (FLSA Sec. 18c)

FACT — IF MY EMPLOYEE QUALIFIES FOR A GOVERNMENT SUBSIDY, I WILL BE AUDITED IN 2015.

If your employees qualifies for government subsidies in 2014, and you enact a health care plan in 2015 to remove them from the exchange and to avoid the $3,000 penalty then YOU WILL BE AUDITED BY “APPEAL.”

Thats right, offer qualified benefits to your employee and you hadn’t offered them before, and you get audited.

MYTH — I CAN BILL 9.5% OF ALL EMPLOYEE’S FLAT MONTHLY ADJUSTED GROSS INCOME AND STILL COMPLY WITH ACA.

If ‘similarly situated employees’ are treated differently in the health plan, such as receiving the same benefits but paying different amounts due to even small differences in income, your penalties could be as high as $100 PER EMPLOYEE PER DAY. (IRC Sec. 9802(b) and Penalty is found in IRC Sec 4980D)

[hat tip to Hazen Mirtz from Enrollment First Inc, who had previously posted much of this data, and from whom I borrowed some data to validate my own research]

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