Determining Full-Time versus Part-Time Employees

For purposes of the Employer Mandate shared employer responsibility provisions of PPACA, a "full-time employee" is an employee who is employed on average at least 30 hours per week and more than 120 days per calendar year. Only employees deemed as full-time need to be offered coverage. When it cannot be determined if an employee is reasonably expected to work on average at least 30 hours per week employers can rely on safe harbor methods for determining the employee’s status. A group will need to set a “Measurement Period” and a “Stability Period” that they will use to evaluate the employee’s hours worked to deem them full-time or part-time. Employees will be re-evaluated annually for a change in eligibility at a set “Standard Measurement Period”.

Effective
Plan Years on or after January 1, 2014

Additional Resources
09/25/2012: The Affordable Care Act: Full-time Employees and Waiting Periods (Ernst & Young)
09/11/2012: New guidance on determining "full-time employees" under health care reform (SBAM)




© 2019 Grotenhuis. ALL RIGHTS RESERVED
588 3 Mile Road NW Suite 101, P.O. Box 140167, Grand Rapids, MI 49514-0167
Phone: (800) 748-0368 or (616) 949-7950 Fax: (877) 329-2844 or (616) 949-2502


Grotenhuis is an Authorized Independent Managing Agent for Blue Cross® Blue Shield® of Michigan and Blue Care Network. Blue Cross Blue Shield of Michigan and Blue Care Network are non-profit corporations and independent licensees of the Blue Cross and Blue Shield Association.