PLAY OR PAY

2014 PLAY OR PAY MANDATE

 

Employers continue to analyze the impact that the “Play or Pay” mandate will have on their organization. The law requires that employers with 50 or more full-time equivalent employees (defined as 30 or more hours per week) must provide a minimum level of medical insurance for their employees. If organizations do not meet the government requirements, they must pay a penalty.

  • If no employer-sponsored plan is offered: $2,000 multiplied by the number of individuals employed, not counting the first 30 employees.
  • If employer-sponsored plan is offered: $3,000 multiplied by the number of full-time employees who receive an Exchange-based premium tax credit; this is capped at the amount of penalty that would have been assessed had the employer not provided any coverage, not counting the first 30 employees

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