PPACA Made Simple

By Molly Mulebriar

If you are an employer with 50 or more full-time employees, your options under ObamaCare include (1). Play or (2). Pay. ………………It’s that simple.

To “Play” your plan has to be affordable and meet a minimum value. Affordable means the cost to plan participants is less than 9.5% of the employees gross income. Minimum Value means the plan pays 60% of health care expenses.

To “Pay” comes into play if you refuse to “play ball.” You are subject to sanctions not to exceed $2,000 per full-time employee (minus the first 30).

Which option is cheaper? No one disputes that to Pay is less expensive. Where can you find an affordable plan that meets mininum value for $166 per month?  And, by refusing to “play ball”, an employer doesn’t have to worry about pesky DOL and IRS audits, insurance agents and consultants and the extra expenses involved in the HR department.

Pay-to-Save garners new meaning under PPACA.