How Can Benefits Administration From A PEO Help Your Business Prepare For ObamaCare?

Posted September 10, 2013 by Layne Davlin
Health Care Reform Word Cloud Concept

Is your company ready for the mandated changes that will be effective January 1, 2014?  The Affordable Care Act (ObamaCare) may seem simple based on the number of employees you have; however, the legislation is complex and can become complicated quickly if your company has plans for growth.  Having an experienced Professional Employer Organization (PEO) to help you work through the complexities of this new legislation will allow your company to focus on its core objectives.  Being laser focused on revenue generating activities, as opposed to back office administration, puts more money in the bank for your business.


Below are the simple ObamaCare requirements:

  1. Businesses with 50+ Full Time Equivalent (FTE) employees must offer insurance to employees
  2. FTE employees are employees who work 30+ hours
  3. Businesses with 49 or less FTE employees are not required to offer insurance

As a business owner, downsizing below the 50 employee mark and utilizing contractors may be an option for small employers.  However, organizations with hundreds of employees will be left to figure out ObamaCare on their own unless a decision is made to utilize a benefits administration outsourcing firm.  There are many employee leasing companies or PEO’s that provide solutions for larger employers looking to outsource their benefits administration needs.  Some ways these organizations can help are as follows:

  1. Answering employee benefit questions
  2. Negotiating insurance rates
  3. Compliance with state and Federal laws

A PEO firm will be able to help you work through the hassle of finding affordable insurance and take care of the mountain of paperwork required in becoming compliant with The Affordable Care Act.  PEO companies have a working knowledge of the new Affordable Care Act laws and will keep your company up to date on all the legislative changes.

With just six months remaining before January, now is the time to make a decision of whether to add more responsibilities that will overload your benefits department or to consider contacting a PEO firm for help.  At Einstein HR, we stand ready to help your organization tackle the tough issues with benefits administration and allow you to focus on your business.  Contact us today for a free quote.