Some employees believe they can waive the coverage they are offered at work and go and sign up for a government subsidized individual policy instead. Whether they should or shouldn’t do this comes down to whether the coverage you are offering them at work is considered “affordable”. Careful, this isn’t a subjective term rather the word “affordable” is tied to an IRS definition that states that if the coverage you get at work costs less than 9.61% of your income for single coverage, the offer is considered affordable and therefore you do not qualify for a government subsidy.
Here’s a video that explains:
