Should your employees be getting a tax subsidy?
If your employees are offered "affordable" health coverage through their employment, they are may not be eligible for premium tax credits through CoveredCA and may have to pay back any tax credits they received. This is not true if they qualify for Medi-cal.
Employees who are offered health coverage by their employer that is affordable and that meets minimum value standards are NOT eligible for tax credits to help pay premiums for an individual Covered California health plan.
Employees who are offered affordable and minimum value health coverage by their employer, may decline the employer-based coverage and purchase insurance through Covered California, but at the full cost without tax credits. That means if you offer your employees an affordable and minimum value coverage, but they turned it down, signed up for an individual plan through Covered California, and received APTCs to help pay for that plan, they may have to pay back some or all of the APTCs received last year when you file your taxes this year.
Contact me for more detail on the FPL Guidelines and calculating affordable contributions for your employees.