Source: WikiCommons

By the time President Donald Trump is dancing at his inauguration ball, the Affordable Care Act (ACA) may be a shadow of its former self.

Throughout his campaign, now President-elect Trump promised to “repeal and replace” so-called Obamacare, a promise which has been echoed by conservative Congressional Republicans calling for the 2010 law to be ripped out “root and branch.” How does this affect your business and your employees? Payday HCM, your expert in ACA compliance, is focused on helping our clients make sense of the possible changes ahead.

In all likelihood, the uprooting scenario is unlikely. It’s true that President Trump can reverse some of President Obama’s executive orders, but it would still take congressional approval to repeal the ACA in its entirety. To do so without an alternative in place would cancel coverage for about 20 million Americans by eliminating the government subsidies most of them received to purchase insurance through ACA exchange. Those subsidies and the law’s Medicaid expansion are likely to be the first casualties of any effort to repeal the ACA.

Rather, some form of the ACA is expected to remain in place until 2018, with a two-year transition period to whatever will replace it. The president-elect’s plan isn’t clear, but he has suggested it will rely more on free-market principles and freeing up insurance companies to sell across state lines. Trump has, however, tentatively promised to keep the provisions that allow children to stay on their parents insurance up to age 26 and ban insurers from denying coverage due to pre-existing conditions.

For the time being, companies with 50 or more full-time equivalent employees are still subject to the employer mandate. This mandate requires these businesses to provide health insurance to at least 95 percent of those employees and their dependents. Companies that don’t comply must pay a fee.

Since the law went into effect, Payday HCM has worked steadily to stay current on ACA compliance issues. Our clients trust us to help them navigate this complex issue so they can stay focused on their business. More than ever, you can rely on Payday HCM to be your provider of quality service combined with top-notch technology to assist in this ever-changing environment.

If you’re concerned about what possible ACA changes mean for your business, please contact an ACA specialist at 888-2PAYDAY or email

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