---
title: ACA Penalties are Still In Effect
description: Trump signed an Executive Order directing HHS to waive, defer, grant exemptions from or delay implementation of any provision or requirement of the ACA
image: https://blog.axcethr.com/hubfs/affordable-care-act-logo1.jpg
---

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# ACA Penalties are Still In Effect

 By [Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/author/jeanette-coleman) on [Aug 29, 2017](https://blog.axcethr.com/aca-penalties-are-still-in-effect)   
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![affordable-care-act-logo1](https://blog.axcethr.com/hubfs/affordable-care-act-logo1.jpg)

When President Trump took office this January, he signed an [Executive Order](http://www.jwterrill.com/wp/2017/01/23/president-trump-issues-executive-order-on-the-affordable-care-act/) directing HHS and other federal agencies to “waive, defer, grant exemptions from or delay implementation of any provision or requirement ”of the Affordable Care Act (ACA) “to the maximum extent permitted by law.” This Executive Order was touted as the first step in repealing the ACA and many people began wondering what practical effect the Order would have. Some even theorized the Employer and Individual Mandate penalties would be waived.

In practicality, the Executive Order is more of an ideological statement because executive orders cannot change existing law. Under the Administrative Procedures Act (APA), agencies cannot rescind existing laws until they engage in a new notice-and-comment rulemaking process (including required public comment period and delayed effective dates) and follow other procedural requirements. This makes it very hard for a President to overturn final regulations without the cooperation of Congress. Since the Employer Mandate and Individual Mandate penalties are written into law, it would take an act of Congress to amend or repeal the monetary amount of the penalties. However, Congress has not passed any amendments or repeal provisions so the Employer Mandate and Individual Mandate penalties are still law.

[![Blog Post: ACA and Self-Funded Insurance](https://no-cache.hubspot.com/cta/default/2652187/608f0c86-c047-425c-85e2-252a9eb591bb.png)](https://cta-redirect.hubspot.com/cta/redirect/2652187/608f0c86-c047-425c-85e2-252a9eb591bb)

In fact, the Department of the Treasury issued [4 opinion letters](https://tax.thomsonreuters.com/checkpoint-ebia-newsletter/irs-information-letters-address-effect-of-executive-order-on-employer-shared-responsibility-and-individual-mandate/) from April to June 2017 which confirm what we already knew: ACA penalties are still in effect. Taxpayers are still required to follow the law and pay what they may owe.

Applicable Large Employers (ALEs) should continue to offer affordable, minimum value coverage to their full-time employees and minimum essential coverage to dependents. If individuals are not eligible or not offered employer-sponsored coverage, they must still have minimum essential coverage (or qualify for an exemption) for each month of the year.

## Additional Resources

- [Information on the Employer Mandate](https://www.irs.gov/affordable-care-act/employers/questions-and-answers-on-employer-shared-responsibility-provisions-under-the-affordable-care-act)
- [Information on the Individual Mandate](https://www.irs.gov/affordable-care-act/individuals-and-families/questions-and-answers-on-the-individual-shared-responsibility-provision)

[![Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/hs-fs/hubfs/Jeanette-04.jpg?width=80&height=80&name=Jeanette-04.jpg)](https://blog.axcethr.com/author/jeanette-coleman)

Written by

#### [Jeanette Coleman, SPHR & SHRM-SCP](https://blog.axcethr.com/author/jeanette-coleman)

Jeanette Coleman, SPHR, SHRM-SCP, is the Director of Human Resources at Axcet HR Solutions, where she has contributed her expertise for over 21 years.

As a leader in the HR industry, she holds advanced certifications as a Senior Professional in Human Resources (SPHR) and SHRM-Senior Certified Professional (SHRM-SCP). Jeanette oversees HR strategy and operations, ensuring Axcet delivers exceptional HR services that help small and mid-sized businesses stay compliant and grow.

With a Master’s degree in Human Resource Management from Keller Graduate School and a Bachelor of Science in Business Administration from Kansas State University, Jeanette is well-equipped to lead and support clients in navigating complex HR challenges.

Throughout her 15-year tenure as Director of Human Resources, she has been instrumental in positioning Axcet as the Midwest’s largest and premier Professional Employer Organization (PEO). Her previous roles at Axcet include Director of Employee Benefits and Senior HR Consultant, where she gained extensive experience in HR outsourcing, and employee risk management.

Jeanette’s expertise has been recognized through industry and regional publications. She co-authored the article “High-Touch in the Age of High-Tech: How PEOs Can Embrace AI Without Losing Their Humanity” (https://peoinsider.org/articles/high-touch-in-the-age-of-high-tech-how-peos-can-embrace-ai-without-losing-their-humanity/) for PEO Insider (March 2026), alongside Jo McClure, and was featured in Ingram’s Magazine in a Q&A (https://ingrams.com/article/qa-with-jeanette-coleman/) discussing generational change, technology, and workplace culture. These contributions reflect her perspective on balancing innovation with the human side of HR.

Jeanette’s leadership reflects her deep commitment to helping businesses thrive through strategic, compliance-driven HR solutions. Through her writing, she shares insights on HR strategy, compliance, and best practices to help employers confidently manage their workforce.

 Published in: PEO Insider and Ingram's

Read more

<https://www.axcethr.com> <https://www.linkedin.com/in/jeanette-coleman-sphr-shrm-scp-a40a537/> [View all posts →](https://blog.axcethr.com/author/jeanette-coleman)

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