ACA’S AFFORDABILITY CONTRIBUTION PERCENTAGE INCREASED FOR 2017

ACA compliance bulletin imageOVERVIEW
On April 12, 2016, the Internal Revenue Service (IRS) issued Revenue Procedure 2016-24 to index the contribution percentages in 2017 for purposes of determining the affordability of an employer’s plan under the Affordable Care Act (ACA).

HIGHLIGHTS
For plan years beginning in 2017, the ACA’s affordability contribution percentages are adjusted to:
• 9.69 percent under the pay or play rules
• 9.69 percent under the premium tax credit eligibility rules
• 8.16 percent under an exemption from the individual mandate

To learn more: ACA Affordability Contribution Percentage Increased for 2017

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