Benefits Compliance Question

Question: When determining whether an employee is full-time for ACA purposes, what counts as an hour of service?

Answer: Under the ACA, an “hour of service” is: (1) each hour employee is paid or entitled to payment for performance of duties; and (2) each hour an employee is paid or entitled to pay during time for which no duties are performed (i.e. vacation, holiday, illness, incapacity, military duty, leave, jury duty, layoff). Please note that the ACA’s definition of “hour of service” differs from the Fair Labor Standards Act’s definition of “hour worked” for wage and hour purposes.