Employers with 50 or more full time equivalent employees must provide affordable health coverage to full time employees and their dependents. If not, they are subject to a fine. The health plan(s) provided must meet basic coverage called “minimum value” and be offered to at least 95% of full time workers. Fines will be levied for not complying ($2,160 times the number of full time employees less 30). Firms offering unaffordable insurance will be exposed to a higher penalty of $3,240 per full time employee.
In 2016, employers with more than 50 equivalent employees must also file Form 1095-C to report insurance information for each full time 2015 employee to the IRS and the worker. A 1094-C must also be filed with the IRS. 1095-C forms must be issued to employees by March 31, 2016 and to the IRS by May 31, 2016.
Individuals who choose to go without health insurance will be fined the greater of $695 per adult ($347.50 per child) with a family ceiling of $2,085 or 2.5% of excess household income over tax return filing threshold.
In 2016, household incomes ranging from 100% to 400% of the 2015 poverty level (single $11,770 to $47,080, family of four $24,250 to $97,000 are eligible for health premium credits. This does not apply to individuals who qualify for Medicaid or other federal insurance. Nor does it apply to individuals who receive affordable health care through their employer.
The HSA maximum contributions are as follows:
Family – $6,750
Individuals born before 1965 can put an additional $1000 into their account annually.