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ACA Compliance Resources

FT Waiting Period vs the Non-Assessment Period

KB13-018

The non-assessment period refers to a limited period during which an employer will not be subject to an assessable payment under IRC Section 4980H(a)(b).

This relief is automatic and applies:

  • During the initial three full calendar months of employment for an employee reasonably expected to be a full-time employee at the start date, under the look-back measurement method. This is also referred to as the Full-time waiting period for eligibility. Click on the last link for further explanation.
  • During the initial measurement period for a new variable-hour employee, seasonal employee or part-time employee determined to be employed on average at least 30 hours of service per week, under the look-back measurement method.

For more explanation Click Here

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Last Review: 8/8/2022 – Revision: 2.0

Applies To: ACA Reporting Requirements

Categories:  Company Setup, Year End – 1095-C and Filing

Keywords:  Non-assessment

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