The Penalties Equate to Significant Potential Cost to Employers


$2,000 per full-time employee (minus 30 employees) if the employer does not offer coverage to at least 95% of full-time employees and dependents up to age 26


If an employers offers coverage but it is deemed either Unaffordable or Below Minimum Value, the penalty is the lesser of: 

  • The number of full-time employees, minus 30, multipled by $2,000 or
  • The number of full-time subsidy-eligible employees multiplied by $3,000 who purchase coverage through an Exchange              


* Full-time 'equivalent' employees are not included when calculating the penalty

* Penalty amounts shown are for 2015. They will increase over time based on inflation