Employee Benefits
Recorded Webinar | ACA Employer Mandate and Look Back Measurement Method
Recorded Webinar | ACA Employer Mandate and Look Back Measurement Method
The Affordable Care Act’s Employer Mandate (i.e., Employer Shared Responsibility requirement) affects all Applicable Large Employers (ALEs). An ALE is generally defined as an employer that employed at least 50 full-time and full-time equivalent employees on average in the previous calendar year. To help avoid potential penalties, many employers have implemented tracking systems within their payroll and/or HRIS systems that assist them in identifying full-time employees (defined as employees that average 30 or more hours of service a week or 130 or more hours of service a month) and determining whether they may be subject to penalties for failing to offer those full-time employees medical coverage during the calendar year.
ALEs are required to provide information reporting under the Employer Shared Responsibility rules to individuals and the Internal Revenue Service (IRS). Since ALEs must comply with the reporting obligation for the 2025 calendar year in the first quarter of 2026, now is a good time for employers to reacquaint themselves with the ins and outs of the rules under the Employer Shared Responsibility provisions.
Join us as we discuss common questions including:
- What criteria determines whether an employer may be considered an ALE and subject to the Employer Mandate and reporting requirement(s)?
- What changes if an employer increases or decreases its number of employees during the year?
- Are there special considerations for seasonal employees, interns and temporary employees?
- What measurement methods are available for identifying full-time employees under the ACA?
- What are the differences between an initial measurement period and a standard measurement period and how do they intertwine?
- What are some considerations when handling position changes between part-time and full-time?
- How can a leave of absence impact full-time status under the look-back measurement method?
- What are some potential pitfalls when administering the look-back measurement method?
