ACA Penalties for Large Employers Delayed Until 2015
In a surprising announcement this week, the Obama administration delayed implementation until 2015 of the requirement that large employers provide coverage for workers. The Affordable Care Act establishes penalties for companies with more than 50 employees that fail to offer affordable health insurance. Those penalties were set to commence in 2014 but are now delayed.
On the White House blog, Valerie Jarrett wrote yesterday about simplified reporting procedures, “[W]e believe we need to give employers more time to comply with the new rules. Since employer responsibility payments can only be assessed based on this new reporting, payments won’t be collected for 2014. This allows employers the time to test the new reporting systems and make any necessary adaptations to their health benefits while staying the course toward making health coverage more affordable and accessible for their workers.”