Employer Medical Assistance Contribution (EMAC)
Employer Medical Assistance Contribution (EMAC): Many organizations are going to receive an EMAC bill after camp if any of their staff members are on MassHealth. Seasonality does not matter, part-time/full-time does not matter, whether you offer health insurance or not does not matter, if they’re employed by another organization both organizations are required to pay the tax. The tax is assessed quarterly and will be billed on a quarterly basis. If an individual is on MassHealth for 56 days during a quarter, they will be assessed. The tax is 5% of the total wages paid up to $750 per year per employee.
Organization’s will not receive an EMAC bill: (1) for employees that are under 18; (2) if none of their employees are on MassHealth; (3) if they pay an employee less than $500 per quarter; or (4) have fewer than 5 employees.