Changes
Jump to navigation
Jump to search
→How the ACA really affects small businesses
[[Image:piechart.jpg|250px|right]]
The Affordable Care Act uses the language “full-time equivalent” (abbreviated FTE)when determining the number of full-time employees.
Calculation for finding the number of full-time equivalent employees:
<(total number of full-time employees + the combined number of part-time employees hours)/ 30. </math>
Another criterion for determining mandate-exemption or tax-credit status in the ACA is the average annual wage of employees.
The average annual wage of a business = total wages paid by an employer/number of FTEs, rounding down to the nearest $1,000 [http://obamacarefacts.com/obamacare-small-business/].
