Will your staffing firm be Affordable Care Act (ACA) compliant in 2015? It’s a question temporary employees need to ask and for good reason. Starting January 1, 2015, the “Pay-or-Play” Rules of the ACA goes into effect for employers with more than 50 employees. If you average 30 hours or more each week at temporary jobs for a staffing firm, under the “Pay or Play” rules, you are a full-time employee of your staffing firm eligible for health insurance coverage should you choose to enroll. Not all staffing firms are offering the required health insurance coverage, however, and are choosing the “pay” option of the plan, remitting an annual fee to the government.
So why should you, the temporary employee, ask if your staffing firm is ACA-compliant? There are good reasons why you should ask, and choose an ACA-compliant staffing firm for your temporary employment:
- Avoid paying a penalty. In 2015, under the ACA, if you don’t have the required health insurance coverage, you are required to pay $325 per person, or 2% of your household income, if your income falls over a certain threshold. The fee increases each year. By taking out insurance from an ACA-compliant staffing firm, you can avoid paying the annual fee.
- Not all insurance coverage is created equal. The government has strict rules for ACA-compliant health coverage. Accepting insurance from an ACA-compliant staffing firm means the health insurance coverage satisfies the government’s requirements.
- Affordable health insurance. Just as the name implies, the ACA requires “low option cost for employees.” Working for an ACA-compliant staffing firm means that you can accept and receive the required coverage for an affordable weekly payroll deduction covering your portion of the health insurance premium. This amount cannot exceed a certain percentage of your hourly rate of pay under the law.
- Less administrative work at home. We are all swamped with the administrative tasks of daily life—paying bills, tracking our finances, etc. By accepting insurance from an ACA-compliant staffing firm, you don’t need to worry about writing out another check and sending it in on-time. An automatic payroll deduction ensures you always have coverage.
So why should you ask if your staffing firm is ACA-compliant when you accept a position? The answer is simple: receiving insurance from a staffing firm who has agreed to “play”—such as Nissen Staffing Continuum—means you avoid a possible penalty, have affordable health coverage that satisfies ACA standards, and less headaches as your staffing firm complies with government regulations.