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Employer's who took a person from full time to part time to avoid compliance with PPACA

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Guest


Guest

Employer's who cut hours to part time from full time to avoid health insurance probably will be in trouble with the ERISA law's.

http://eba.benefitnews.com/news/how-cutting-employee-hours-due-to-health-reform-may-infringe-federal-law-2733435-1.html?ET=ebabenefitnews:e7221:2489206a:&st=email&utm_source=editorial&utm_medium=email&utm_campaign=EBA_inBrief_060513

Guest


Guest

Walmart and Papa John's. Good. Go get em!

Guest


Guest

I think it would be harder to prove on companies like the above because of seasonal up's and down's in business, plus how many employee's would know this? I would be worried if I was a medium size business with 100-200 employee's and have reduced hours in the past year solely for this purpose. Even if an employee doesn't know the ERISA law's they would eventually find out.

What is going to be tough for an employer over 50 if they do offer coverage is keeping the employee's portion of premium under 9.5% of the employee's household income. Just one employee's premium is over that amount and they purchase on the exchange instead of employer the employer has to pay a $3000 penalty for that employee and $2000 for all other's. All because of that one employee. Going to be interesting.














PBulldog2

PBulldog2

DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

bizguy



PBulldog2 wrote:DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

When you say 'contract basis' do you mean he gets paid via a 1099 as opposed to a W2?

PBulldog2

PBulldog2

bizguy wrote:
PBulldog2 wrote:DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

When you say 'contract basis' do you mean he gets paid via a 1099 as opposed to a W2?

W2. That's another reason it doesn't make sense.

bizguy



PBulldog2 wrote:
bizguy wrote:
PBulldog2 wrote:DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

When you say 'contract basis' do you mean he gets paid via a 1099 as opposed to a W2?

W2. That's another reason it doesn't make sense.

What is the nature of the work? Generally speaking, he can't be a W2 employee and a 1099 independent contractor at the same time. Is the company paying their share of his payroll tax?

Guest


Guest

Well that's a tough one. I was reading the DOL website several months ago and there is a classification for a contract W-2 employee, but my understanding was it was a salaried arrangement between a company and an employee and yes they could work them as many hours as needed. This I don't know how will play, but somewhere in the PPACA I saw if the person has always been a 1099 contractor then that's probably going to be a pass on benefits, but if they are making them a 1099 just for the purpose of not offering the coverage then there may be a problem. Remember I am speaking of 50 plus employee's. Below know one has to offer anything.

Oh and bizguy is correct can't be both.

Guest


Guest

Employer's who took a person from full time to part time to avoid compliance with PPACA Images?q=tbn:ANd9GcSXPfu4_TG3o-TXO_9XY28EXB6lmHcxadT-KahC8k-0HACCuB15

I suggested a few years ago when this Obamacare came out that if I was an employer all my employees would be independent contractors.

That would make them responsible for their own health care and if they didn't like the wage of $7.25 to mop floors or stock shelves for more than 29 hours a week there are plenty of others that would do the job at that price.

*****SMILE*****

https://www.youtube.com/watch?v=wQzUCO7rG0M

Smile

Guest


Guest

doubtingthomas wrote:Employer's who cut hours to part time from full time to avoid health insurance probably will be in trouble with the ERISA law's.

http://eba.benefitnews.com/news/how-cutting-employee-hours-due-to-health-reform-may-infringe-federal-law-2733435-1.html?ET=ebabenefitnews:e7221:2489206a:&st=email&utm_so urce=editorial&utm_medium=email&utm_campaign=EBA_inBrief_060513

Free country and employers can do what they want.

Guest


Guest

doubtingthomas wrote:Well that's a tough one. I was reading the DOL website several months ago and there is a classification for a contract W-2 employee, but my understanding was it was a salaried arrangement between a company and an employee and yes they could work them as many hours as needed. This I don't know how will play, but somewhere in the PPACA I saw if the person has always been a 1099 contractor then that's probably going to be a pass on benefits, but if they are making them a 1099 just for the purpose of not offering the coverage then there may be a problem. Remember I am speaking of 50 plus employee's. Below know one has to offer anything.

Oh and bizguy is correct can't be both.

What Obama doesn't understand is that private industry cant have deficit spending like he does himself.

PBulldog2

PBulldog2

bizguy wrote:
PBulldog2 wrote:
bizguy wrote:
PBulldog2 wrote:DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

When you say 'contract basis' do you mean he gets paid via a 1099 as opposed to a W2?

W2. That's another reason it doesn't make sense.

What is the nature of the work? Generally speaking, he can't be a W2 employee and a 1099 independent contractor at the same time. Is the company paying their share of his payroll tax?

Yes.

VectorMan

VectorMan

PACEDOG#1 wrote:
doubtingthomas wrote:Well that's a tough one. I was reading the DOL website several months ago and there is a classification for a contract W-2 employee, but my understanding was it was a salaried arrangement between a company and an employee and yes they could work them as many hours as needed. This I don't know how will play, but somewhere in the PPACA I saw if the person has always been a 1099 contractor then that's probably going to be a pass on benefits, but if they are making them a 1099 just for the purpose of not offering the coverage then there may be a problem. Remember I am speaking of 50 plus employee's. Below know one has to offer anything.

Oh and bizguy is correct can't be both.

What Obama doesn't understand is that private industry cant have deficit spending like he does himself.

Liberals don't understand that other peoples's money eventually runs out. Major part of the spending problem.

VectorMan

VectorMan

bizguy wrote:
PBulldog2 wrote:
bizguy wrote:
PBulldog2 wrote:DT, what about employers hiring in people on a "not more than 29 hours per week" contract basis? Will they be allowed to keep doing this under ACA?

I had a manager tell me recently, "We can work him as much as we need him, but his contract says only 29 hours a week, so we save money by not having to provide benefits."

Needless to say, this stuck in my craw.

EDIT:
Does the fact that the person was hired on a contract basis rather than as a part-time employee make a difference? Even though the contract was offered by the facility rather than a hiring agency?

When you say 'contract basis' do you mean he gets paid via a 1099 as opposed to a W2?

W2. That's another reason it doesn't make sense.

What is the nature of the work? Generally speaking, he can't be a W2 employee and a 1099 independent contractor at the same time. Is the company paying their share of his payroll tax?

Why not? I have been. Having a regular scheduled job while doing another re-portable job income on the side. Maybe not common, generally speaking.

bizguy



Why not? I have been. Having a regular scheduled job while doing another re-portable job income on the side. Maybe not common, generally speaking.


Sorry, I wasn't clear. I meant he couldn't work the same hours for the same employer and be considered a 1099 contractor and W2 employee at the same time.

2seaoat



An employee can have an employment contract and still get a w-2. Biz is correct on the hours worked claiming both is not allowed.

This is clearly defined under florida statute:

(2) “Employee” means a person who performs services for and under the control and direction of an employer for wages or other remuneration. The term does not include an independent contractor.


http://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0448/Sections/0448.101.html

A common problem in this day and age is an employer who takes an employee, and claims that employee is now an independent contractor, yet the department of Labor will look at the element of control......key.....you can call something a bluebird.....but if it quacks, waddles , and looks like a duck.....it is a duck.

Guest


Guest

bizguy wrote:Why not? I have been. Having a regular scheduled job while doing another re-portable job income on the side. Maybe not common, generally speaking.


Sorry, I wasn't clear. I meant he couldn't work the same hours for the same employer and be considered a 1099 contractor and W2 employee at the same time.

Employer's who took a person from full time to part time to avoid compliance with PPACA Images?q=tbn:ANd9GcS5d06avXvcTV6jxTNxWk47Ukz97KhLc85RwVQFC6CzUzMsTsc3

I've worked two different jobs, for different companies and different years, where I was putting in well over 29 hours a week for them as an independent (1099) contractor.

That's the way it was set up. The only company employees were the management.

*****SMILE*****

https://www.youtube.com/watch?v=njG7p6CSbCU

Smile

bizguy



I've worked two different jobs, for different companies and different years, where I was putting in well over 29 hours a week for them as an independent (1099) contractor.

That's the way it was set up. The only company employees were the management.

There are many employers that push the envelope when it comes to 1099 independent contractors. I see it frequently in one of my industries. If the employer controls when, where and how you work they should treat you and compensate you as an employee.

Guest


Guest

bizguy wrote:
There are many employers that push the envelope when it comes to 1099 independent contractors. I see it frequently in one of my industries. If the employer controls when, where and how you work they should treat you and compensate you as an employee.

Employer's who took a person from full time to part time to avoid compliance with PPACA Images?q=tbn:ANd9GcS4fSyONXF7Tv-oUj95EfBHE9nQMlUpF2ssSwu0GhE-38IR373KoA

What I believe will happen is that independent contractor contracts being presented to the worker/contractor for signature agreement from the company office as the norm in the near future.

What you want and what you get are usually two different things.

*****CHUCKLE*****

https://www.youtube.com/watch?v=XIX0ZDqDljA

Smile

bizguy



Damaged Eagle wrote:
bizguy wrote:
There are many employers that push the envelope when it comes to 1099 independent contractors. I see it frequently in one of my industries. If the employer controls when, where and how you work they should treat you and compensate you as an employee.

Employer's who took a person from full time to part time to avoid compliance with PPACA Images?q=tbn:ANd9GcS4fSyONXF7Tv-oUj95EfBHE9nQMlUpF2ssSwu0GhE-38IR373KoA

What I believe will happen is that independent contractor contracts being presented to the worker/contractor for signature agreement from the company office as the norm in the near future.

What you want and what you get are usually two different things.

*****CHUCKLE*****

https://www.youtube.com/watch?v=XIX0ZDqDljA

Smile

I only deal with independent contractors in my businesses. Personally, I can't imagine being an employee.

Guest


Guest

I'll tell you what this law is so damn confusing especially on the group side it's mind boggling. It's becoming clearer on the individual side if a person's employer does not offer a group, in fact it will be pretty simple except for the rates, most of the new plans will be between 25-40% higher than today. If one has an individual and purchased before 3/23/2010 and has not changed it those rates (although may experience a little rate increase yearly) will eventually level out and probably end up costing less than the new plans. Why? All the mandates are not in them and the healthier people should stay in them, therefore creating less claims. Anyone that bought or changed their plan after 3/23/2010 will lose their plan on the anniversary date in 2014 and a few on Jan 1, and be mapped to a compliant plan, so I say to these people sign up before Dec 15th for Jan 1 effective date and possibly qualify for a subsidy.

On the group side any employer who changed their plan after 3/23/2010 they lost grandfather status and on their anniversary date will have to provide compliant plans. Yes and they will go up because of any extra mandate's.

Signing up this year will be a cluster f with very few knowing what they're doing. Not to mention the federal exchange will barely be up and running Oct 1. But to Bob you, even though your turning 65 in Feb can if you wanted sign up before Dec 15th for a Jan 1 effective date and have one month of coverage or as I learned today keep it past your 65th birthday, but you will have regular rate after 65. So unless you're have a surgery planned in January forget it and tough it out until 2/1 when Medicare kicks in.

Also anyone with preexisting or has a surgery scheduled Jan 1 or after and signs up before Dec 15th will have that surgery covered immediately after Jan 1.

Markle

Markle

What could go wrong with the IRS managing and examining your health insurance?

Millions are going to lose their coverage because their employer won't be able to afford the coverage required by ObamaCare. Surprise, surprise, remember that part where President Barack Hussein Obama promised if you liked your doctor you could keep him, and your cost wouldn't go up ONE DIME?

He lied.

Guest


Guest

Markle wrote:What could go wrong with the IRS managing and examining your health insurance?

Millions are going to lose their coverage because their employer won't be able to afford the coverage required by ObamaCare. Surprise, surprise, remember that part where President Barack Hussein Obama promised if you liked your doctor you could keep him, and your cost wouldn't go up ONE DIME?

He lied.


Yes and no: Before 3/23/2010 YES after you can still keep your doctor but not the plans. The network of doctors won't change and that never was up to obama it is an individual contract between health care providers and insurance company. Insurance companies that participate in the Federal Exchange here in Florida will sell the same plans off or on the exchange. Only 10 have applied to be in the exchange in Florida and 3 are Blue Cross companies, humana, aetna, cigna and then a few unknowns in southern Florida. Surprising united healthcare will not sell plans on the exchange. The only people that will go thru the exchange are one's that will qualify for a subsidy, otherwise if you purchase off the exchange the process stays the same. In the panhandle of Florida around 80% of people will qualify for a subsidy.

If anyone on this forum believes they will qualify for a subsidy don't call the number for the federal exchange the government will be advertising later on in the summer, call your insurance agent. Unknown to most people your agent can put you in the exchange instead of dealing with some jerk in a call center working for the government.

Another tidbit is, although you can request a paper application, this could delay processing of a couple of months of your insurance after it goes thru all the agency's involved. All agents thru their respective companies will have the internet tools to do this.

Although they will be looking at 2012 tax returns for 2014 to determine a subsidy you can change the estimation of your income for 2014 if you think you'll make less than you did in 2012 and receive a subsidy, but if you're cheating they will catch you in 2015 and you will be paying it back.

Markle

Markle

doubtingthomas wrote:
Markle wrote:What could go wrong with the IRS managing and examining your health insurance?

Millions are going to lose their coverage because their employer won't be able to afford the coverage required by ObamaCare. Surprise, surprise, remember that part where President Barack Hussein Obama promised if you liked your doctor you could keep him, and your cost wouldn't go up ONE DIME?

He lied.


Yes and no: Before 3/23/2010 YES after you can still keep your doctor but not the plans. The network of doctors won't change and that never was up to obama it is an individual contract between health care providers and insurance company. Insurance companies that participate in the Federal Exchange here in Florida will sell the same plans off or on the exchange. Only 10 have applied to be in the exchange in Florida and 3 are Blue Cross companies, humana, aetna, cigna and then a few unknowns in southern Florida. Surprising united healthcare will not sell plans on the exchange. The only people that will go thru the exchange are one's that will qualify for a subsidy, otherwise if you purchase off the exchange the process stays the same. In the panhandle of Florida around 80% of people will qualify for a subsidy.

If anyone on this forum believes they will qualify for a subsidy don't call the number for the federal exchange the government will be advertising later on in the summer, call your insurance agent. Unknown to most people your agent can put you in the exchange instead of dealing with some jerk in a call center working for the government.

Another tidbit is, although you can request a paper application, this could delay processing of a couple of months of your insurance after it goes thru all the agency's involved. All agents thru their respective companies will have the internet tools to do this.

Although they will be looking at 2012 tax returns for 2014 to determine a subsidy you can change the estimation of your income for 2014 if you think you'll make less than you did in 2012 and receive a subsidy, but if you're cheating they will catch you in 2015 and you will be paying it back.

How's that Cool Aid?

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