http://www.calchamber.com/hr-california/Pages/aca-infographic.aspx?Tsource=SLIDE OK, so the Affordable Care Act says larger employers must offer affordable health care coverage to employees in 2015 or face costly penalties (ouch). Does this provision apply to you? While you have time to plan, there's a lot to understand. Go with the flow chart to start making sense of it all.

1. You have the same options as
individuals buying health coverage.
Visit these websites:
healthcare.gov/
using-insurance/employers/self-employed
and coveredca.com
There are NO FEES since your
business offers
affordable coverage.
You must pay a fee for
not offering affordable
coverage.
Employees can choose to buy
coverage in California’s Health
Benefit Exchange, Covered
California, and receive a
premium tax credit.
The fee is $3,000 per employee receiving a
premium tax credit in Covered California,
up to a maximum of $2,000 times
the number of full-time employees, not
counting the first 30 employees.
You must pay a fee for
not offering affordable
coverage.
Those employees can choose
to buy coverage in California’s
Health Benefit Exchange,
Covered California, and
receive a premium tax credit.
The fee is $3,000 per employee receiving a
premium tax credit in Covered California,
up to a maximum of $2,000 times
the number of full-time employees, not
counting the first 30 employees.
No
Does the insurance pay for at least
60 PERCENT
of covered health care expenses?
Do any employees have to
pay more than
9.5 PERCENT
of family income for the
coverage you offer?
EM
PLO Y E E I N S U RA
N
C
E
Do you offer coverage to
FULL-TIMEemployees?
(FT = 30+ Hours/Week)
Do you employ at least
50full-time equivalent
(or a mix of 50 FT/PT) employees?
Yes
Yes
Yes
Yes
No
No
No
No
Huh? Hmm. Aha!
OK, so the Affordable Care Act says employers
with at least 100 employees must offer
affordable health care coverage in 2015
or face costly penalties (ouch).
But employers with at least
50 and fewer than 100 employees won’t be
required to comply until 2016. While there’s
time to plan, there’s a lot to understand. Go
with the flow chart below to
start making sense of it all.
Did at least one of your
employees receive a
premium tax credit or cost-
sharing subsidy in California’s
Health Benefit Exchange,
Covered California?
The fee is $2,000 for each full-time
employee, not counting the first 30
employees. The fee is increased each year
by the growth in insurance premiums.
Yes
Find more information and
resources on HRCalifornia. Don’t yet
access the website? Start your free
15-day trial:
calchamber.com/freeaccess
Chart text reprinted with permission by Health Law Guide For Business. © 2014 California Chamber of Commerce
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IMPLEMENTING HEALTH CARE REFORM
IN CALIFORNIA
3 STAGES OF
EMPLOYER COMPLIANCE
Aha!
UPDATED
YesNo
AREY
OU SELF EMPL
OYED?
You are not required to provide health
insurance and no fees apply.
If you have 25 or fewer
employees and average wage is
less than $50,000, you may be
eligible for a tax credit if you
provide health coverage.