While the Affordable Care Act doesn’t go into full effect until 2014, business owners should be aware that the size of their staff this year determines whether they are hit by penalties.
Most SBOs know by now that any company with over 50 full-time equivalent employees will be required to provide healthcare for their employees in 2014 or face fines. However, some aren’t aware that the government will be using staff data from 2013 to determine whether a company falls under the provision. According to the WSJ article Insurance Rule Will Go By Size Of 2013 Staff, this could change some SBO’s plans to change their staff next year. Rather than wait, they should make the changes this year while there is still time. A misunderstanding of the provision’s rules will have some companies blindsided with penalties in 2014.
Once business owners get wise to the rules, staffing in these companies may be rearranged and reorganized. Change often brings opportunity, and industries like temporary staffing will probably be the most affected.