Challenge
An employer with many part-time and variable hour employees needed to determine who was considered full-time under Affordable Care Act (ACA) standards and its potential exposure to ACA penalties.
Solution
BerryDunn’s experts helped our client to:
- Understand the various methods available to determine full-time employee status
- Implement the look-back measurement method for its part-time and variable hour employees
- Outline the potential penalties that could be assessed and alternatives available to the client to limit or eliminate the assessment of any penalties
Outcome
The employer determined which of its part-time and variable hour employees would be considered full-time employees and extended coverage accordingly. BerryDunn helped the client set up the ACA tracking and reporting components of its payroll software. They now have monthly reports that assist with this tracking and have implemented a plan design that essentially eliminates the potential for ACA penalties.