In response to employers’ requests for more time to implement complex regulations regarding reporting requirements under the Affordable Care Act, the Obama Administration announced on Tuesday, July 2, 2013, a one-year delay in the effective date of a major component of the Act requiring employers with at least 50 workers to offer health coverage or be exposed to a penalty. The provision, commonly known as the “play or pay” penalty or employer mandate, will now become effective on January 1, 2015. Obviously, the delay removes the pressure to redesign plan coverage in the next few months to maximize the cost benefit of avoiding (or paying) the penalties. Employers now have an extra year to vet the pros and cons of their plan designs and to implement the Act’s requirements on coverage.
The Act’s other two major provisions, expanding Medicaid and requiring individuals to obtain coverage or pay a penalty, will still become effective on January 1, 2014.
The extended provision, commonly known as the “play or pay” penalty or employer mandate, requires businesses with 50 or more full-time or full-time-equivalent workers to provide insurance to full-time workers or risk a penalty of $3,000 for each full-time employee over 30. Even employers that offer health care benefits can be subject to a different penalty calculation if the offered coverage is not of the right quality or is not affordable. In this instance, a penalty of $3,000 will be assessed for each full-time employee who actually received a federal subsidy to purchase health coverage on an exchange.
For more information or to speak with one of the Scheffel & Company, PC experts, please contact us today.
This article originally appeared in BDO USA, LLP’s “BDO Knows Compensation & Benefits” (July 2013) Copyright @ 2013 BDO USA, LLP, All rights reserved. www.bdo.com
A group of Scheffel & Company, PC employees and their spouses recently participated in the Young Professionals of Alton Bowl for Charity fundraiser and silent auction at Bowl Haven.
All proceeds from this fun filled evening went to the Cottage Hills Community Hope Center. The Community Hope Center is a full service emergency crisis center that helps local disadvantaged people including the homeless, children, and the elderly.
Scheffel & Company CPAs Josh Andres, Jenna Bock and Julie Graham are all active members of the Young Professionals of Alton and helped coordinate the fundraiser.
The Scheffel Companies Managing Principal, Dennis Ulrich was recently highlighted in the May issue of the Illinois Business Journal as an industry leader in Southwestern Illinois.
The accounting firm of Scheffel & Company, PC was recently named by St. Louis Small Business Monthly as one of the best accounting firms in the St. Louis region. This spring, readers were polled to identify the best accounting firms in the area. Over 200 firms were nominated with 24 firms being named to the list. In 2012, the St. Louis Small Business Monthly named Scheffel & Company, PC to its Best in Reliability- Best in Business list.
Edison’s Entertainment Complex was the place to be on Friday, February 15th for fun and some serious fund raising. Two teams from CPA firm Scheffel & Company, PC took time away from working on taxes to participate in the Big Brothers Big Sisters Bowl For Kids’ Sake campaign.
Through their community volunteer initiative Scheffel Shares, Scheffel & Company, PC believes in supporting community organizations like Big Brothers Big Sisters. The ten bowlers raised $1,957 to help pair children with caring mentors.
Big Brothers Big Sisters serves youth facing adversity in Madison, St. Clair, Monroe and Clinton counties. For more information about Big Brothers Big Sisters of Southwestern Illinois visit the website at www.bbbsil.org.
During most of the year the accountants of Scheffel & Company, PC are working at their desks identifying solutions to their client’s tax and audit questions, but recently they could be found out in the communities where their offices are located volunteering through the employee-driven Scheffel Shares initiative.
“Giving back to the many communities where we work is the right thing to do.” said Managing Principal Dennis Ulrich of Scheffel & Company, PC. “We live here, we do business here and we have the responsibility of helping our local neighborhoods. Having a dedicated Scheffel Shares initiative not only provides for our community but gives us another chance to work together as a team.“
In Edwardsville the staff planned a neighborhood clothing drive for a local elementary school. They canvased the area around their office leaving flyers and returning the following week to pick up the donations of children’s clothing. Once collected, the Scheffel staff generously matched with their own donations of clothes and money.
The Jerseyville and Carrollton offices sponsored a Blood Drive for the American Red Cross. Scheffel staff volunteered by calling prior donors to inform them of the upcoming blood drive, setting up appointments, signing donors into the drive, working the canteen, and giving blood themselves. Forty-eight people donated and forty-three productive units of blood were collected.
Playing off the rivalry of Highland and Triad’s High School football teams, the employees of the Highland Scheffel & Company, PC location set up a booth to collect hats, gloves and non-perishable items for the Highland Area Christian Service Ministry Food Pantry. All donors were entered into a contest to win a Kindle Fire HD. The persistent rain did not dampen the spirits of the Scheffel employees and a van full of donations was delivered to the food pantry.
Dolls, Matchbox cars and Barbies could be seen around the Alton location as they joined forces with the U. S. Marine Corps Reserve Toys for Tots Program. Alton employees distributed flyers, collected toys and created a drop off for toys to be distributed to children in the Alton area. The event was a huge success with the Marines picking up over seventy toys.
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