The Top 5 ACA Compliance Concerns for Small Businesses
WHAT HEALTH ISSUES BRING THE MOST CONCERNS TO ANY SMALL BUSINESS AND HOW THEY CAN BE FIXED?
There was a study conducted two years ago over growing concerns for small businesses. Health insurance was one of the top concerns that small business owners have. Did you know over half spend almost $1300 a month trying to keep up with the Affordable Care Act Compliance?
When you look at the bigger picture, this is an alarming number. More small businesses are growing concerned as the days press on. This is what brings us here today. We are here to discuss those top concerns and how to fix them appropriately.
THE EXCHANGE NOTICE MANAGEMENT
If your small business is covered under the FLSA, you need to pay extra close attention to this one. By law you are required to give your employees notification of the Affordable Care Act Health Insurance Notifications. You are required to let your co-workers know when open-enrollment begins and ends. You are required to let your employees know any and all information regarding this subject.
I have known bosses from larger companies who fail to give their employees the same respect and consideration. Please do yourself and your employees this favor. If you have no idea what any of this is, you need to get acquainted with it right now. These notifications are important part of this process. You can find the downloadable files and applications online.
THE BENEFITS PLANS STRUCTURE
This is next part is just as important as the first one. If you are going to be offering your employees some sort of health plan, you have to make sure the plan fits the required structure.
With each health plan you will see different options. There are the self-insured plans. There are the plans that offer double coverage, this happens usually in terms of the spouse.
There are all types of plan structures. With this in mind, do all of them meet the requirements? Each plan needs to at least meet the minimum requirements, if not exceed those requirements.
If you are having issues with the requirements, you can go online to the checklist. There is an official checklist online. This will keep you and your company on track.
THE REQUIREMENTS FOR ENROLLMENT
This should all be outlined within the company health packages that are given out. Bosses need to make sure all employees get these materials. There is usually a beginning and ending period for open enrollment; again, this should all be outlined in the packet.
All companies need to be certain this information is being conveyed to all employees, both old and new. The new employees need to wait for at least 90 days to enroll. We mention this because some companies fail to address this information to their co-workers.
It’s in every company’s best interest to get the message across, so there is no miscommunication happening.
This is on the mind for everyone, especially those of us who are self-employed. I am self-employed and worry about health coverage every day. This means you have to have something to keep you going, even if it’s not through work. This can turn out to be quite expensive.
Some small businesses worry they won’t have the money to cover the health coverage costs for their employees. This is a common concern, but one that needs to be addressed. Every boss has to work in compliance with this one. Every boss needs to work alongside their employees to see what is affordable and what is not.
Some of this might be a far-stretch for some businesses, especially in this day and age. However, some sort of effort needs to be made.
DOING THE MATH FOR FULL-TIMERS
One last worry that many small businesses worry about is becoming part of the ALE. This is where they become a much bigger fish in a much bigger pond. This is where the Employer Responsibility comes into action. Many small businesses do not want things to get this far.
It means they share more of a responsibility with their employees coverage-wise. To avoid this, many bosses will sit down to see how many employees they really need. Mostly, we are talking about the full-time staff right now.
The more full-timers a small company has, the more shared responsibility a boss has. This will affect both the money and health insurance. A small business that has 50 full-timers or more are part of the group, which has a greater responsibility.
SUMMING IT ALL UP
Now that we have explained these top 5 for you, hopefully you can understand why these are growing concerns for all small business owners. Small business owners are reaching out though. Many of them are reaching out to the ACA for further information.
Many are seeking more advice and help on how to meet some of the minimum requirements that need to be met. How many of you are in this boat right now? If you are, get in touch with the ACA right now. The ACA might be able to help you out too.
This content is courtesy of Neches FCU, an Equal Employment Opportunity Employer.
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