A recent article in the Journal of Accountancy http://www.journalofaccountancy.com/News/20137289.htm highlights the proposed regulations governing the individual health insurance mandate under Obamacare.
I'm still digesting the details (the devil is always in the details), but here's what I've come up with so far:
The rules that take effect (now January 2015) are based on a "look-back period" of the preceding calendar year. In other words, the definition of full time equivalent employees (FTEs) for any given year will be based on the number of FTEs you have the prior year, so the time to plan is now.
An employer is subject to the rules (an "applicable large employer") if it employed, on average, 50 FTEs or more during the look-back period. "An employee is a FTE for any month" if the employee worked, on average, at least 30 hours a week during that month. There are some exceptions for seasonal and temporary workers.
Bottom line: For small employers, your status next year will be determined by the number of FTEs you have this year.
For those who are gluttons for punishment or insomniacs, the article has links to the excruciating details (REG-148500-12).
As always, please give me a call to discuss how these rules may affect you, and always consult a professional advisor before taking any action on these or any other matters.
"Tomorrow starts now."