Effective January 1, 2015, employers with 100 or more full-time (or full-time equivalent) employees that do not offer health insurance to their full-time employees (and dependents), or that offer coverage that is not affordable or that does not provide minimum value, may be required to pay an assessment if at least one of their full-time employees receives a premium tax credit to purchase coverage in the new individual Marketplace. Employers with at least 50 but fewer than 100 full-time or full-time equivalent employees will generally have an additional year, until 2016, before these rules apply. A full-time employee is one who is employed an average of at least 30 hours per week. If a business meets the threshold level of 100 full-time or full-time equivalent employees (50 employees starting in 2016), or is close to it, it’s important to understand how these rules may apply and how the payment amounts could be calculated. Refer to these FAQs from the IRS for the latest information on the Employer Shared Responsibility rules. January 2015

Businesses with fewer than 50 employees are generally not affected by the Employer Shared Responsibility rules – that is nearly 96 percent of all firms in the United States. These smaller employers do not have to pay an assessment if their full-time employees receive premium tax credits in the new Marketplace.