Do you provide ACA compliant benefits for your internal contingent workforce? Does your 3rd party agency provide them? Do they meet ACA compliance regulations? How is this going to alter what you’re paying after the ball drops at midnight on Jan 1?
Companies with more than 50 full-time employees working at least 30 hours per week are required to provide ACA compliant health insurance or pay a hefty penalty. For some businesses, the cost to insure due to the ACA could reach up to $5,900 more per employee than what they’re currently paying to employ someone. Many small businesses are cutting hours and/or cutting positions to keep headcounts below 50. This lends to the obvious issue of preventing company growth, both in revenue and employment. Consider how much your time is worth – how much would it cost your company if you have to handle all that you do, in addition to administering health insurance?
Is your company outsourcing already? Are you already set for the ACA Employer Mandate? If so, are you getting the best bang for your buck? There are many companies offering a lower cost alternative to internalizing payroll for contingent workers, but through our research, many companies are grossly overpaying their 3rd party vendors. Some companies are paying as high as a 35-40% mark-up rate on gross wages! TargetCW’s competitive mark-up rate covers all FICA taxes, federal and state unemployment taxes, and workers compensation. TargetCW also offers a full suite of ACA compliant benefits to ALL contingent workers, providing the perfect mix of administrative relief and cost savings for companies looking to outsource. Ask your current agency what their plan is today!
Please, don’t wait to comply with the ACA Employer Mandate. Downsizing your most valuable asset (your people) or paying a penalty for non-compliance are not the only roads your company can choose to go down. Contact us today…