Skip to main content

IRS Releases Employer Mandate Tool

The Taxpayer Advocate Service, a division of the IRS, recently announced the availability of the Employer Shared Responsibility Provision Estimator. This new tool is available to employers to help them understand how the employer mandate may apply to them.


How will the tool help employers?
The tool will assist employers in determining the following:  

  • The number of their full-time employees, including full time equivalents (FTEs) 
  • Whether the employer is an applicable large employer (ALE)
  • An estimate of the maximum penalty amount that may apply to an ALE under the employer mandate based on the number of its FTEs.

Please note that the tool is intended for use in determining these factors for the 2016 calendar year and beyond.  The tool should not be used for the 2015 calendar year since there are transition rules that may apply when determining penalties for 2015.


Where can the tool be found?
The tool is housed on the IRS’ site. 


If you have any questions, please contact your Client Solutions team.


Compliance Quarterly is being provided as an informational tool. It is recommended that plans consult with their own experts or counsel to review all applicable federal and state legal requirements that may apply to their group health plan. By providing this publication and any attachments, Meritain Health is not exercising discretionary authority over the plan and is not assuming a plan fiduciary role, nor is Meritain Health providing legal advice.