The IRS recently raised the affordability threshold for the 2021 calendar year to 9.83% of household income from the 2020 threshold of 9.78%. This percentage is used to determine an individual’s eligibility for a premium tax credit and the affordability of employer-sponsored coverage. Failure to provide a full-time employee with affordable coverage can result in an employer shared responsibility penalty.
|YEAR||AFFORDABILITY %||MAXIMUM MONTHLY CONTRIBUTION||PRIOR YEAR FEDERAL POVERTY LEVEL (FPL)|
For questions, contact your Bukaty benefits consultant at 913.345.0440