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Good Morning Dallas Restaurants. Get Ready for Obamacare

Restaurant Shrink: Mathew Mabel.

I’m happy Obama won. I’m also glad Colorado and Washington legalized marijuana because many restaurateurs may need to take a few hits before they open their books and try to figure out how they are going to deal with the Affordable Care Act. Restaurants, and other businesses with over 50-full-time employees, will have to ante up in 2014.

Dallas restaurant industry analyst Mathew Mabel offers some sage advice. His company, Surrender, deals with these situations all the time. This morning Mabel says,

Newsflash: the world will not end any time soon and you will keep going.The best businesses are taking action now to build the revenue and profits they need to pay for their allocation of Obamacare. Even if your business is not affected, I suggest you act like it is. Why? Because there is nothing like looming new expenses to inspire you to figure out how to make your company stronger, more successful, reach more customers, bring in more revenue, and generate higher profits. When the Affordable Care Act — whether you like it or not — impacts a business, it can become a cure for being lazy about implementing improvements.

As I always say: Don’t fight it bite it. Now, let’s get ready for the tourism boom in Colorado and Washington.

  • gwen

    Heyyyyy Mathew
    I think, obamacare is not required for part-time employees???

  • Steve Shaw

    It will count full time equivalent hours. So 2 or 3 part-timers will equal 1 full time employee.

  • Amy S

    I believe Steve is correct. The total # of hours worked by all employees divided by the defined number of hours that quantifies “full time” (probably 36 – 38) will determine how many full time positions.

  • Al Biernat

    •Starting in 2014, large businesses (those with 50 or more full-time workers) that do not provide adequate health insurance will be required to pay an assessment if their employees receive premium tax credits to buy their own insurance. These assessments will offset part of the cost of these tax credits. The assessment for a large employer that does not offer coverage will be $2,000 per full-time employee beyond the company’s first 30 workers.

    •To be deemed “affordable,” the health care insurance provided by the employer must pay for at least 60 percent of covered health care expenses, and employees may not be forced to pay more than 9.5 percent of their family income (before deductions and adjustments) for coverage offered by employers. The question of how an employer is supposed to know the amount of “family income” is not yet addressed.—– Nancy, The problem I find is when asking the employee to pay their portion. Many people said they will refuse to pay. How do you collect from long time employees when they refuse? I have 86 employees and would love any suggestions from others in our industry. Remember, their tips are counted in their computation as total income. As you know, we are responsible as owners to match payroll taxes on all of their tips. Sincerely, Al Biernat

  • oyster23

    Al, if the employee refuses the restaurant is off the hook. The refusing employee can get a “ticket” for $75 for not signing up but I can’t imagine them really writing one ! They are hiring 60,000 new governmwent workers just to inforce it on us….. Paul Seikel