New Medicaid Work Requirements Have You Concerned? We Have You Covered.
The recent passage of H.R. 1 [often referred to as the “One Big Beautiful Bill” Act, now Public Law No: 119-21 (07/04/2025)], will pose significant challenges for employers regarding their non-benefit-eligible employees who currently rely on the federal Medicaid program. The healthcare sector is uniquely impacted by this new law, with many hospitals and health systems facing uncertainty over Medicaid funding and patient coverage. The future may be at risk for some rural and critical access facilities, as well as the communities relying on them, due to shifts in eligibility.
New Medicaid Work Requirements
Hospitals may not have control over patient eligibility, but the new Medicaid work requirements will also create additional operational challenges related to work verification and reporting for all U.S. employers.
- Verification requirements. States must verify at application and at renewal that individuals in the Affordable Care Act (ACA) expansion group meet work requirements (80 hours of work activities per month) or exemption criteria. States may require verification more frequently if they choose.
- Implementation timeline. The law requires the US Department of Health and Human Services (HHS) to release an interim final rule by June 2026, leaving states with limited time to adjust and test implementation plans before the January 2027 work requirement implementation deadline.
As these complex Medicaid eligibility and reporting rules take effect, it is crucial for companies to adapt quickly to stay ahead of the changes. That’s where Vault Verify comes in. Our unmatched agility and customized solutions enable our clients to remain compliant with confidence and ease.
Vault Verify Has You Covered
Vault Verify provides more than just peace of mind that a seamless Medicaid Work Verification process will be available to clients; our portfolio of HR services also includes several unique and impactful features:
- Vault EDGe Gateway – An employer-controlled, “best-in-class” HR data integration platform that accesses real-time data from all major HCM platforms. The Vault EDGe Gateway has flexible and customizable features, and is compatible with various HR technology vendors, ensuring secure, seamless integration with current and future HR systems and ongoing compliance with still-evolving government regulations.
- Vault Letters – Fully editable and auditable, this tool creates and manages automated employment letters that are both simple and robust, saving our clients time and effort.
- Vault Global – Global verification solution that functions seamlessly across our clients’ organizations, with language and currency options as well as support for employee ID and national identifiers.
- Multi-employment Reports – This Vault Verify exclusive employment and income verification reports remove the hassle of constant manual follow-ups for our clients’ staff, tackling the common challenges faced when reporting for employees with multiple job roles that have unique compensation structures.
- Vault PSLF – Premium Public Service Loan Forgiveness management tools that simplify how affected employers handle employee PSLF application obligations.
For over a decade, Vault Verify has been an HR Tech industry leader and innovator in work requirement reporting for government programs like SNAP, and more recently, PSLF. As states implement new Medicaid work requirements, Vault Verify will offer a strong work requirement reporting solution to meet your needs, as well as the varying needs of each state. Rest assured that we have the necessary experience to address an evolving reporting environment with secure, proven technology and a flexible platform.
To see how our solution can help your organization manage compliance, security risks, and improve operational efficiency, please request a demo. For more blog content, be sure to subscribe to stay notified of new blogs.
Donny Phillips
Donny Phillips is a 25-year industry expert who has served in leadership for multiple human resource and payroll service providers, including some of the largest third-party administrators and employment and income verification vendors. During his career, Donny has consulted with and provided services to employers of all sizes from the largest of the Fortune 100 to local small businesses as well as local governments and federal governmental agencies. Donny is passionate about helping clients optimize programs while focusing on doing the right thing for all stakeholders.