HCR-Controlled Groups?

[Yagents]

You're right, see questions 10-15 here:

Questions and Answers on Employer Shared Responsibility Provisions Under the Affordable Care Act

But of course, if you don't offer coverage and have 50 FTE's, one of them will get a subsidy, unless everyone is highly compensated I guess

 

[Ann H]

But of course, if you don't offer coverage and have 50 FTE's, one of them will get a subsidy, unless everyone is highly compensated I guess

You know, I thought about that very thing. But I can see a place for a 50+ employer to not offer health insurance.

imagine a cleaning service with so many part-time employees that they have more than 50 FTE's. Let's say that 5 upper level employees work full-time and want to keep their grandfathered plans, or get IFP non-exchange plans. They don't need a group plan, and they don't have fear that they would get a penalty, because the $2,000 penalty when you DON'T have a group plan only applies to every FULL-TIME employee (if at least one of them goes to the exchange for a subsidy.)

Granted, that's not the norm, but fits quite a few business models.