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Top Strategies for Employers to Provide Affordable Health Benefits to Part-Time Employees

  • Writer: Fundamental Care
    Fundamental Care
  • May 21
  • 3 min read
Top Strategies for Employers to Provide Affordable Health Benefits to Part-Time Employees

Top Strategies for Employers to Provide Affordable Health Benefits to Part-Time Employees


Providing affordable health benefits to part-time employees is a strategic move that can enhance employee satisfaction, reduce turnover, and ensure compliance with the Affordable Care Act (ACA). This article explores top strategies for employers to achieve this in 2024 and how Fundamental Care® can support these efforts.


Understanding ACA Requirements


Key Requirements for Employers

The ACA mandates that Applicable Large Employers (ALEs) offer affordable health coverage to full-time employees, defined as those working an average of 30 hours per week. While part-time employees are not covered under the mandate, offering them affordable health plans can significantly benefit the organization by improving morale and retention.


Leveraging Safe Harbors for Affordability


Federal Poverty Line (FPL) Safe Harbor

Using the FPL safe harbor is an effective way to ensure health plan affordability for part-time employees. For 2024, the maximum monthly contribution under this safe harbor is $101.93. This threshold helps ensure that health coverage is accessible to part-time employees without imposing financial strain.


Offering Flexible Plan Options


Multiple Plan Choices

Providing a variety of health plan options allows part-time employees to select coverage that best fits their needs and budget. High-deductible health plans (HDHPs) paired with Health Savings Accounts (HSAs) can be an attractive option for those seeking lower monthly premiums.


Implementing Wellness Programs


Promoting Healthy Lifestyles

Wellness programs can significantly reduce overall healthcare costs by encouraging healthy behaviors among employees. Incentives for activities such as smoking cessation, regular exercise, and routine check-ups can lead to lower premiums and out-of-pocket costs.


Subsidizing Premiums


Employer Contributions

Even modest employer subsidies can make a significant difference in health plan affordability for part-time employees. By contributing to premiums, employers can attract and retain part-time staff, fostering a more committed workforce.


Utilizing Cafeteria Plans


Tax Advantages

Cafeteria plans allow employees to pay for health insurance premiums with pre-tax dollars, reducing their taxable income and increasing the affordability of their health benefits. This approach can be particularly beneficial for part-time employees who may have tighter budgets.


Effective Communication


Clear Benefit Information

Providing clear and detailed information about available health benefits is crucial. Employers should ensure that part-time employees understand their options, how to enroll, and the value of the benefits provided. Effective communication can enhance appreciation and utilization of the offered health plans.


Regular Monitoring and Adjustment


Adapting to Changes

Employers should regularly review and adjust their health plans based on employee feedback and changes in healthcare regulations. This ensures that the plans remain affordable and relevant to the needs of part-time employees.


How Fundamental Care® Can Help


Comprehensive and Affordable Solutions

Fundamental Care® offers health plan solutions specifically designed to be affordable for part-time employees. Our plans provide essential health benefits that support the well-being of employees without excessive costs.


Expert Guidance and Support

Our team of experts is well-versed in ACA compliance and affordability standards. We work closely with employers to tailor health plans that meet regulatory requirements and fit within budget constraints.


Enhancing Employee Retention

Offering Fundamental Care® health plans can significantly improve employee satisfaction and retention. By providing valuable health benefits, employers can create a supportive work environment that encourages loyalty and productivity.


Conclusion

Employers who offer affordable health benefits to part-time employees can see substantial improvements in employee satisfaction, retention, and overall productivity. By implementing the strategies outlined above and leveraging solutions from Fundamental Care®, employers can create a more committed and healthier workforce.


For more information on how Fundamental Care® can assist you in providing affordable health benefits to your part-time employees, visit our Limited Day Health Plan page.



 
 
 

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Coterie Advisory Group, Inc.

7878 N. 16th St., Suite 180

Phoenix, AZ 85020

www.coterieadvisors.com

Phone: 602-884-8096

This website is for marketing and illustrative purposes only for licensed insurance agents and brokers as an invitation to inquire and is not intended to solicit insurance. not all plans are available in all states. For specific plan details, rates, exclusions, limitations, and state availability please contact Coterie Advisory Group using the online form, email, or phone listed above.

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