--- title: ACA Affordability Threshold Decreases for 2024 Plan Year description: ACA Affordability Threshold Decreases for 2024 Plan Year image: https://blog.affiliatedhrpayroll.com/hubfs/Imported_Blog_Media/ringing-bell.jpg --- - [Secure File Transfer](https://affiliatedpayroll.myfileguardian.com/PostOffice/Main.aspx) - [Employee Log-In](https://affiliatedhrpayroll.com/employee-login/) - [Employer Log-In](https://affiliatedhrpayroll.com/client-login-portals/) [Request A Quote](https://affiliatedhrpayroll.com/request-a-quote/) [![Affiliated HR & Payroll Services](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/raw_assets/public/Affiliated_HR_Payroll_Services_June2024/images/Affiliated-HR-Payroll-logo-dark.png?width=310&height=250&name=Affiliated-HR-Payroll-logo-dark.png "Affiliated HR & Payroll Services")](https://affiliatedhrpayroll.com/) - [About](https://affiliatedhrpayroll.com/about/) - Solutions - [HR Services](https://affiliatedhrpayroll.com/solutions/hr-services/) - [Employee Self Service](https://affiliatedhrpayroll.com/solutions/hr-services/employee-self-service/) - [Employee Handbook](https://affiliatedhrpayroll.com/solutions/hr-services/employee-handbook/) - [HR Support Center](https://affiliatedhrpayroll.com/solutions/hr-services/hr-support-center/) - [Performance Reviews](https://affiliatedhrpayroll.com/solutions/hr-services/performance-reviews/) - [Labor Law Posters](https://affiliatedhrpayroll.com/solutions/hr-services/labor-law-posters/) - [Unemployment Claims Management](https://affiliatedhrpayroll.com/solutions/hr-services/unemployment-claims-management/) - [E-Verify](https://affiliatedhrpayroll.com/solutions/hr-services/e-verify/) - [Payroll Solutions](https://affiliatedhrpayroll.com/solutions/payroll-solutions/) - [Tax Services](https://affiliatedhrpayroll.com/solutions/payroll-solutions/tax-services/) - [General Ledger](https://affiliatedhrpayroll.com/solutions/payroll-solutions/general-ledger/) - [Report Writer](https://affiliatedhrpayroll.com/solutions/payroll-solutions/report-writer/) - [Paycheck Options](https://affiliatedhrpayroll.com/solutions/payroll-solutions/paycheck-options/) - [POS Interfaces](https://affiliatedhrpayroll.com/solutions/payroll-solutions/pos-interfaces/) - [Certified Payroll](https://affiliatedhrpayroll.com/solutions/payroll-solutions/certified-payroll/) - [Tax Credits](https://affiliatedhrpayroll.com/solutions/payroll-solutions/tax-credits/) - [Time & Labor Management Services](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/) - [Timekeeping](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/timekeeping/) - [Time Off Requests](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/time-off-requests/) - [Scheduling](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/scheduling/) - [Time Clocks](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/time-clocks/) - [Benefits Services](https://affiliatedhrpayroll.com/solutions/benefits-services/) - [Health Benefit Administration](https://affiliatedhrpayroll.com/solutions/benefits-services/health-benefit-administration/) - [ACA Compliance](https://affiliatedhrpayroll.com/solutions/benefits-services/aca-comliance/) - [Section 125](https://affiliatedhrpayroll.com/solutions/benefits-services/section-125/) - [COBRA Administration](https://affiliatedhrpayroll.com/solutions/benefits-services/cobra-administration/) - [Talent Solutions](https://affiliatedhrpayroll.com/solutions/talent-solutions/) - [Recruitment & Applicant Tracking](https://affiliatedhrpayroll.com/solutions/talent-solutions/recruitment-applicant-tracking/) - [Background Screening](https://affiliatedhrpayroll.com/solutions/talent-solutions/background-screening/) - [Employee Onboarding](https://affiliatedhrpayroll.com/solutions/talent-solutions/employee-onboarding/) - [Employee Engagement](https://affiliatedhrpayroll.com/solutions/talent-solutions/employee-engagement/) - [Platform](https://affiliatedhrpayroll.com/platform/) - [Resources](https://affiliatedhrpayroll.com/resources/) - [Partners](https://affiliatedhrpayroll.com/partners/) - [Blog](https://blog.affiliatedhrpayroll.com) - [Contact Us](https://affiliatedhrpayroll.com/contact-us/) - [About](https://affiliatedhrpayroll.com/about/) - Solutions - [HR Services](https://affiliatedhrpayroll.com/solutions/hr-services/) - [Employee Self Service](https://affiliatedhrpayroll.com/solutions/hr-services/employee-self-service/) - [Employee Handbook](https://affiliatedhrpayroll.com/solutions/hr-services/employee-handbook/) - [HR Support Center](https://affiliatedhrpayroll.com/solutions/hr-services/hr-support-center/) - [Performance Reviews](https://affiliatedhrpayroll.com/solutions/hr-services/performance-reviews/) - [Labor Law Posters](https://affiliatedhrpayroll.com/solutions/hr-services/labor-law-posters/) - [Unemployment Claims Management](https://affiliatedhrpayroll.com/solutions/hr-services/unemployment-claims-management/) - [E-Verify](https://affiliatedhrpayroll.com/solutions/hr-services/e-verify/) - [Payroll Solutions](https://affiliatedhrpayroll.com/solutions/payroll-solutions/) - [Tax Services](https://affiliatedhrpayroll.com/solutions/payroll-solutions/tax-services/) - [General Ledger](https://affiliatedhrpayroll.com/solutions/payroll-solutions/general-ledger/) - [Report Writer](https://affiliatedhrpayroll.com/solutions/payroll-solutions/report-writer/) - [Paycheck Options](https://affiliatedhrpayroll.com/solutions/payroll-solutions/paycheck-options/) - [POS Interfaces](https://affiliatedhrpayroll.com/solutions/payroll-solutions/pos-interfaces/) - [Certified Payroll](https://affiliatedhrpayroll.com/solutions/payroll-solutions/certified-payroll/) - [Tax Credits](https://affiliatedhrpayroll.com/solutions/payroll-solutions/tax-credits/) - [Time & Labor Management Services](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/) - [Timekeeping](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/timekeeping/) - [Time Off Requests](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/time-off-requests/) - [Scheduling](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/scheduling/) - [Time Clocks](https://affiliatedhrpayroll.com/solutions/time-labor-management-services/time-clocks/) - [Benefits Services](https://affiliatedhrpayroll.com/solutions/benefits-services/) - [Health Benefit Administration](https://affiliatedhrpayroll.com/solutions/benefits-services/health-benefit-administration/) - [ACA Compliance](https://affiliatedhrpayroll.com/solutions/benefits-services/aca-comliance/) - [Section 125](https://affiliatedhrpayroll.com/solutions/benefits-services/section-125/) - [COBRA Administration](https://affiliatedhrpayroll.com/solutions/benefits-services/cobra-administration/) - [Talent Solutions](https://affiliatedhrpayroll.com/solutions/talent-solutions/) - [Recruitment & Applicant Tracking](https://affiliatedhrpayroll.com/solutions/talent-solutions/recruitment-applicant-tracking/) - [Background Screening](https://affiliatedhrpayroll.com/solutions/talent-solutions/background-screening/) - [Employee Onboarding](https://affiliatedhrpayroll.com/solutions/talent-solutions/employee-onboarding/) - [Employee Engagement](https://affiliatedhrpayroll.com/solutions/talent-solutions/employee-engagement/) - [Platform](https://affiliatedhrpayroll.com/platform/) - [Resources](https://affiliatedhrpayroll.com/resources/) - [Partners](https://affiliatedhrpayroll.com/partners/) - [Blog](https://blog.affiliatedhrpayroll.com) - [Contact Us](https://affiliatedhrpayroll.com/contact-us/) ![ACA Affordability Threshold Decreases for 2024 Plan Year](https://blog.affiliatedhrpayroll.com/hubfs/Imported_Blog_Media/ringing-bell.jpg) # ACA Affordability Threshold Decreases for 2024 Plan Year - Home - [Affiliated HR Payroll Blog](https://blog.affiliatedhrpayroll.com) - ACA Affordability Threshold Decreases for 2024 Plan Year [Afilliated HR & Payroll](https://blog.affiliatedhrpayroll.com/author/ahrp-admin) 08/31/2023 [Affordable Care Act](https://blog.affiliatedhrpayroll.com/tag/affordable-care-act), [Alert](https://blog.affiliatedhrpayroll.com/tag/alert), [ACA](https://blog.affiliatedhrpayroll.com/tag/aca) [0 Comments](https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year#postComment) 1 Minutes On August 23, 2023, the IRS announced that the Affordable Care Act (ACA) affordability threshold will be 8.39%, reduced from 9.12% in 2023, for plan years beginning in calendar year 2024 (after December 31, 2023). Under the ACA’s Employer Shared Responsibility provision (play or pay), large employers (those with an average of 50 full-time employees—including full-time equivalent employees—during the prior year) must either: - Offer most full-time employees and their children minimum essential, minimum value coverage that is affordable at the employee-only level of coverage; or - Make an employer shared responsibility payment to the IRS if at least one of their full-time employees purchases coverage on a Health Insurance Marketplace and receives a premium tax credit because their employer did not offer qualifying coverage. Under the new threshold, to be affordable for the 2024 plan year, the employee’s required contribution to the plan cannot be more than 8.39% of their income. Read more about [affordability and minimum value](https://www.irs.gov/affordable-care-act/employers/questions-and-answers-on-employer-shared-responsibility-provisions-under-the-affordable-care-act#Affordability) on the IRS’s [Questions and Answers on Employer Shared Responsibility Provisions Under the Affordable Care Act](https://www.irs.gov/affordable-care-act/employers/questions-and-answers-on-employer-shared-responsibility-provisions-under-the-affordable-care-act#top) page. [IRS Revenue Procedure 2023-29](https://www.irs.gov/pub/irs-drop/rp-23-29.pdf) will be published in *Internal Revenue Bulletin 2023-37* on September 11, 2023. --- #### Tag: [Affordable Care Act](https://blog.affiliatedhrpayroll.com/tag/affordable-care-act) [Alert](https://blog.affiliatedhrpayroll.com/tag/alert) [ACA](https://blog.affiliatedhrpayroll.com/tag/aca) #### Share: - [Follow us on Facebook](http://www.facebook.com/share.php?u=https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year) - [Follow us on Twitter](https://twitter.com/intent/tweet?url=https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year&text=ACA%20Affordability%20Threshold%20Decreases%20for%202024%20Plan%20Year) - [Follow us on Linkedin](http://www.linkedin.com/shareArticle?mini=true&url=https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year) - [Follow us on Pinterest](http://pinterest.com/pin/create/button/?url=https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year&text=ACA%20Affordability%20Threshold%20Decreases%20for%202024%20Plan%20Yeardescription=On%20August%2023,%202023,%20the%20IRS%20announced%20that%20the%20Affordable%20Care%20Act%20(ACA)%20affordability%20threshold%20will%20be%208.39%,%20reduced%20from%209.12%%20in%202023,%20for%20plan%20years[...]&media=https://45831542.fs1.hubspotusercontent-na1.net/hubfs/45831542/Imported_Blog_Media/ringing-bell.jpg) --- #### [EEOC Updates ADA Guide Previous Post](https://blog.affiliatedhrpayroll.com/eeoc-updates-ada-guide) #### [Law Alert: Federal DOL Announces Proposed Rule to Increase Exempt Employee Minimum Salaries Next Post](https://blog.affiliatedhrpayroll.com/law-alert-federal-dol-announces-proposed-rule-to-increase-exempt-employee-minimum-salaries) --- ## Related Posts [Affordable Care Act](https://blog.affiliatedhrpayroll.com/tag/affordable-care-act), [ACA Update](https://blog.affiliatedhrpayroll.com/tag/aca-update), [ACA](https://blog.affiliatedhrpayroll.com/tag/aca) [Afilliated HR & Payroll](https://blog.affiliatedhrpayroll.com/author/ahrp-admin) 08 December, 2022 #### [The Affordable Care Act: A Review and Update](https://blog.affiliatedhrpayroll.com/the-affordable-care-act-a-review-and-update) As explained on the official government health care site, the law has three goals: [Read More](https://blog.affiliatedhrpayroll.com/the-affordable-care-act-a-review-and-update) ![Affiliated HR Payroll](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/Affiliated-HR-Payroll-logo-light.png?width=750&name=Affiliated-HR-Payroll-logo-light.png "Affiliated HR Payroll") [![Accredited Business](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/blue-seal-293-61-whitetxt-bbb-90053136.png?width=293&name=blue-seal-293-61-whitetxt-bbb-90053136.png "Accredited Business")](https://www.bbb.org/us/tx/stafford/profile/payroll-services/affiliated-payroll-services-0915-90053136/#sealclick) ![Satisfaction Stamp](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/100-satisfaction-stamp.png?width=160&name=100-satisfaction-stamp.png "Satisfaction Stamp") ![Isolved-Network](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/Isolved-Network.png?width=451&name=Isolved-Network.png "Isolved-Network") #### RESOURCES & LINKS - [AHRP Resources](https://affiliatedhrpayroll.com/resources/) - [Blog](https://blog.affiliatedhrpayroll.com/) - [Request A Quote](https://affiliatedhrpayroll.com/request-a-quote/) - [Employer Log-In](https://affiliatedhrpayroll.com/client-login-portals/) - [Employee Log-In](https://affiliatedhrpayroll.com/employee-login/) - [Secure File Transfer](https://affiliatedpayroll.myfileguardian.com/PostOffice/Main.aspx) - [Privacy/Terms of Use](https://affiliatedhrpayroll.com/privacy-terms-of-use/) [![facebook](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/icon-facebook.png?width=100&name=icon-facebook.png "facebook")](https://www.facebook.com/AffiliatedHRPayroll/) [![Youtube](https://blog.affiliatedhrpayroll.com/hs-fs/hubfs/Affiliated_HR_Payroll_Services_June2024/Images/icon-youtube.png?width=100&name=icon-youtube.png "Youtube")](https://www.youtube.com/channel/UCxFmvmFA1inMJk28v4QlTNA) #### NEWSLETTER SIGNUP © 2026 Affiliated HR & Payroll [All Rights Reserved.](https://affiliatedhrpayroll.com/privacy-terms-of-use/) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Afilliated HR & Payroll", "url" : "https://blog.affiliatedhrpayroll.com/author/ahrp-admin" }, "dateModified" : "2024-07-16T13:51:43.442Z", "datePublished" : "2023-08-31T15:32:52.000Z", "headline" : "ACA Affordability Threshold Decreases for 2024 Plan Year", "image" : [ "https://blog.affiliatedhrpayroll.com/hubfs/Imported_Blog_Media/ringing-bell.jpg" ], "mainEntityOfPage" : { "@id" : "https://blog.affiliatedhrpayroll.com/aca-affordability-threshold-decreases-for-2024-plan-year", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://blog.affiliatedhrpayroll.com/hubfs/Affiliated%20Logos/Affiliated-HR-Payroll-logo-dark.png" } } } ```