The IRS has proposed changes to the Affordable Care Act’s family coverage and affordability rules. In a nutshell, the proposed regs would change how to determine the affordability of employer-sponsored coverage for an employee’s family. More specifically, the affordability of family coverage would be based on the employee’s share of the cost of covering the family, not the cost of employee-only coverage. Employer-sponsored family coverage is considered affordable only if the employee’s portion of the annual premium for family coverage doesn’t exceed 9.5% of household income. The regs would also add a minimum-value rule for family coverage based on the benefits provided to family members. Call or visit our website for more information! www.mjscpa.com/
