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Healthcare mandate pushed back

The White House is pushing back one of the main components of the Affordable Care Act. The employer mandate is being delayed until 2015. This was unexpected since it was set to take effect on Jan. 1, 2014. The mandate requires mid-size and large employers to offer health insurance to employees. The date is being pushed back after the Treasury Department received many concerns from employers about the implementation of the mandate.

For those attending the LSCU Annual Convention and Exposition, LEVERAGE VP of Innovation and Business Development held a session on the implementation of the Affordable Care Act and how it would affect credit unions. Look for more sessions on this topic this year and early next year.

As it was passed, the mandate requires employers with more than 50 full-time employees to provide insurance or face a fine. Over the next year, the Treasury will look for ways to refine the mandate. Mark J. Mazur, assistant Treasury secretary for tax policy, recently wrote a blog about the delay. He writes:

"The Administration is announcing that it will provide an additional year before the ACA mandatory employer and insurer reporting requirements begin. This is designed to meet two goals. First, it will allow us to consider ways to simplify the new reporting requirements consistent with the law. Second, it will provide time to adapt health coverage and reporting systems while employers are moving toward making health coverage affordable and accessible for their employees.  Within the next week, we will publish formal guidance describing this transition. Just like the Administration’s effort to turn the initial 21-page application for health insurance into a three-page application, we are working hard to adapt and to be flexible about reporting requirements as we implement the law."

Visit the Treasury Department blog to read his full post.