As I have mentioned in my previous blog, my concern for small business owners is being compliant with the federal “Affordable” Care Act.

This brings to mind a recent situation that I would like to use as an example of how good, honest intentions can get derailed. Scenario: New employee starts June 15. Employer has a 90 day waiting period for benefit eligibility. So, the thought here is that at the end of 90 days, either the employee or employer will know that this arrangement is a good fit and then benefits become available. Such as benefits, sick leave, vacation time, comp time, etc. This is very easily confused with new hire enrollment period and the ACA. So, I leave Employer A and I waive my COBRA offer because Employer B just went through the renewal process and it is open enrollment for “existing” employees. The HR person/owner says, “Hey, timing is everything, we’re at our open enrollment/renewal time.” Submits the application to the carrier without the assistance of an agent. With a proposed effective date of, now. The carrier comes back, issues ID cards, sends the welcome packet for their effective date of 60 days out.

Everybody’s happy. The employee gets sick, presents his ID card only to find out that his coverage isn’t effective…yet. So, now we have an employee without coverage AND at a time of need. The insurance carrier cannot, and will not, make an exception for the misunderstanding because it’s a federal law and therefore this would be viewed as discrimination. So, good, honest intentions turn into a huge liability because anybody can fill out a form and submit it, why do I need an agent? Not good business.

Please call. Our services are FREE. The consequences of being in violation of a federal law aren’t something I would sign up for if I could opt out.

Your human resource employee, even if that’s yourself, have your daily responsibilities. If employee benefits are a part of your business model, your business and your employee have now taken on an assignment that requires a licensed, trained and certified agent to keep you compliant with the federal “Affordable” Care Act.

If you, as a business owner, think that you have accomplished this task without help, let me mention to you your liabilities and the compliance involved in the management of this plan. If you end up putting a part time or even a full time person on your staff to assist with your HR responsibilities, let’s do the math.

Let’s start with our current employee that you’ve had for some time, even if that’s yourself. As I mentioned, you’ve got your daily activities. You now have benefits compliance and management and now you’re going to try to train the new employee. This is not a sound business decision. I would like to see you maximize your staff and resources while reducing your liability.

As I mentioned, our service is free. Please call us for a consultation and analysis of your current situation.

The ACA timeline for 2016 has six mandates that affect small business owners.

One of these mandates is the definition of small group. The expansion of small group includes payroll of one to 100 full time eligible employees. If your business model is to attract and retain quality employees, one of the greatest tools that our workforce is in need of is benefits.

You are not required to provide benefits yet, but a progressive business owner usually does. We work with your CPA to find room in your budget for such a plan. Within your budget, we identify your needs and suitability for the employees that we will be serving. We will research, make suitable suggestions and manage the benefits for what usually is a diverse workforce. There could be a broad spread in the needs and the ability to pay premiums (employee cost sharing) from the least compensated to the highest compensated employees in many cases.

Please call us. This is a federal law and we want to make sure you’re on the right track, that you’re growing your business and that you’re compliant.

If you’re a small business owner, you know how to provide your product and service, but when it comes to health insurance, it may be a very foreign concept.

If you feel out of your element, brokers do this for a living. It would be like me trying to do my own property casualty work, my own taxes, etc. I would be creating a greater liability for myself than already exists at the expense of not only my time or my employee’s time, but the consequences of not being compliant with a federal law could be devastating.

We work in partnership with property casualty agents, CPAs, attorneys and financial planners to coordinate all of your professional needs in such a manner that you are compliant and the end results are to your liking. Our service is free of charge. Please give us a call.

Wellmark is very good, as the largest health insurance company in the state, at providing user-friendly information for not only the producer, but also employers and members.

I came across an article regarding health care reform “reform news that matters” for your business that I thought might be an easy and comprehensive read.

Throughout this article, you’ll see hyperlinks to other valuable topics that might be of interest to you. As we work our way through the ACA (Affordable Care Act) timeline spanning 2010 – 2018, there are over 40 provisions that have been scheduled to take place, a few each year. This includes individual, small group and large group market segments.

I feel that the majority of the consumers I visit with have a fair understanding of the individual expectations and penalties, but I’m finding that business owners might be left in the dark. I feel that there is a strong fiduciary responsibility that lies on the hands of anyone providing advice to a company or an HR person regarding compliance issues.

I think the link I’m providing will allow you to read through and sort through what’s applicable to you. If you have questions as you go forward, give me a call. Each company and each person’s situation is unique and it would be difficult for me to tell everybody what they need to do in a broad sense. Take a look at this and give me a call. I will do my best to keep you compliant.