Revenue Procedure 2023-39 was released on August 23, 2023, by the IRS, announcing the contribution percentage for 2024. This percentage determines the affordability of an employer’s plan under the Affordable Care Act (ACA). Shared responsibility, or pay or play rules, require applicable large employers (ALEs) to offer affordable health coverage to …
2024 ACA Pay or Play Penalties Increasing
The IRS released the 2024 penalty amounts regarding the employer shared responsibility (pay or play) rules under the Affordable Care Act (ACA). For the 2024 calendar year, Penalty A will be $2,970 (an increase of $90 per employee from 2023). Penalty B will be $4,460 (an increase of $140 per …