Is My Organization Considered an Applicable Large Employer?

An applicable large employer (ALE) group is defined as 50 or more full-time equivalent (FTE) employees.
 
How to determine if your organization is an ALE:
  1. Identify, per month, those that were a full-time employee (working 30 or more hours/week)
  2. Identify part-time and seasonal FTEs for each month (not to exceed 120 hours/month)
  3. Add your monthly totals from steps 1 and 2 and divide by 12
If total is <50 you are not an applicable large employer
 
If total is >50 you are an applicable large employer
The ACA mandates you offer affordable coverage or pay a fine for full-time employees working at least 30 hours/week, or pay a penalty. The employer mandate became effective January 1, 2015 although there is transition relief for certain employers with fewer than 100 FTE employees.
 
If total is >50 because of seasonal employees, your group may still be considered small
 
Safe Harbor
Employers may utilize the "safe harbor" look-back measurement option of up to 12 months to determine whether new and existing variable hour and seasonal employees are full-time employees. For more information:
 
IRS websiteSee IRS Treasury Decision 9661, "Information Reporting by Applicable Large Employers on Health Insurance Coverage Offered Under Employer-Sponsored Plans" for more details and examples.

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