One of the questions we at Vista Benefits are asked almost daily is the question on how an employer can help their employees with their individual insurance premiums. This type of arrangement, or ‘employer payment plan‘ does not comply with the requirements of the Affordable Care Act and can result in penalties to an employer of $100 per employee per day.
The good news for now is that the IRS has offered a transitional period through June 30, 2015 in which they have stated that no penalties will be enforced for this type of arrangement. http://bit.ly/1CV3NBE
If you find yourself or your business in this situation, you should rectify this now to avoid expensive financial penalties.
Please call today and I can review the options available to you that do comply with the Affordable Care Act and help you avoid potential penalties and IRS audits.