
The Affordable Care Act (ACA) is having an effect on businesses across the country and a nonprofit agency is no exception. One of the main factors determining how your agency will be affected is based on the number of full time equivalent employees your agency employs. To see the IRS definition of a Full Time Equivalent Employee (FTE) go to: http://www.irs.gov/uac/Small-Business-Health-Care-Tax-Credit-Questions-and-Answers:-Determining-FTEs-and-Average-Annual-Wages. There are three FTE benchmarks to consider: Those businesses with fewer than 25, those with fewer than 50 employees and those with 50 or more employees.