IRS Releases ACA Pay-or-Play Penalties for 2026
On July 22, 2025, the IRS released updated penalty amounts for 2026 related to the employer shared responsibility (“pay-or-play”) rules under the Affordable Care Act (ACA). For calendar year 2026, the adjusted$2,000 penalty amount is $3,340, and the adjusted $3,000 penalty amount is $5,010. This is an increase from the penalty amounts for the 2025 […]
One Big Beautiful Bill Act – Changes for Employee Benefits
On July 4, 2025, President Donald Trump signed a major tax and spending bill, commonly referred to as the “One Big Beautiful Bill Act” (OBBB Act), into law. The OBBB Act includes changes for employee benefit plans. The OBBB Act will: Expand the availability of health savings accounts (HSAs) Permanently extend the telehealth exception for […]
Pay-or-Play Affordability Percentage Will Increase for 2026
On July 18, 2025, the IRS released Revenue Procedure 2025-25 to index the contribution percentage in 2026 for determining the affordability of an employer’s health plan under the Affordable Care Act (ACA). For plan years beginning in 2026, employer-sponsored coverage will be considered affordable under the ACA’s “pay-or-play” rules if the employee’s required contribution for […]
Employee Handbook Best Practices
An employee handbook functions as a vital compliance document and internal governance tool. When structured properly, it promotes consistency, supports risk management and provides employees with a clear understanding of company policies and expectations. In today’s ever-shifting legal environment, maintaining a thoughtfully written and regularly updated employee handbook is essential for employers. Essential considerations for […]
Top Health Plan Compliance Issues for 2025
Employers should be aware of the top compliance issues that may impact their health plan coverage for 2025.Some of these compliance issues are established requirements for employers, such as the new simplified reporting under the Affordable Care Act (ACA). Other compliance issues are anticipated developments employers should monitor, such as additional health care transparency requirements. […]
IRS Issues ACA Reporting Guidance on Providing Statements Upon Request
The IRS has issued Notice 2025-15 providing guidance on the alternative manner of furnishing statements tocovered individuals and full-time employees, using Forms 1095-B and 1095-C, in accordance with the AffordableCare Act’s (ACA) reporting requirements. Background The Paperwork Burden Reduction Act, enacted at the end of 2024 and applicable to 2025 reporting deadlines,provides that reporting entities […]
2025 Applicable Large Employer (ALE) Requirements
The Affordable Care Act (ACA) is the comprehensive health care reform law enacted in 2010. The ACA has many complex requirements for employers and their health plans. The attachments provide more information on ACA requirements for ALEs. 2025 ALE ACA Checklist 2025 ALE ACA Toolkit Determining ALE Status Disclaimer: This article and attachments are not […]