What are your Affordable Care Act options?
The Affordable Care Act (ACA), popularly known as Obamacare, was written into law March 23, 2010. Five years later, America’s corporations are beginning to understand the real and lasting effects that this legislature has on America’s businesses. The ACA has redefined what a full-time employee means to an employer. Furthermore, the ACA has created its own department within the walls of large corporations combining tax departments, benefit management, and payroll information. In a poll taken by Ernst & Young, 80% of 3,000+ executives indicate that they are not ready for the ACA. With the deadline for reporting fast approaching, companies are scrambling to figure out what exactly they need to do to remain ACA compliant and penalty free.
- A Full-Time Employee (FTE), as defined by the ACA, is an employee that works an average of 30 hours per week, or at least 130 hours in a month.
- Large companies with 50+ FTE must file IRS forms 1094/1095 –B and or –C
- IRS forms are due January 31, 2016
- The new IRS forms require a combination of tracking, compliance monitoring, and reporting.
What Employers Need:
While the new legislature mandates the reporting, employers are left to figure out where ACA compliance fits within their company. Because the ACA requires payroll data, benefit data, exact time keeping, monthly analytics, and moving calculations, employers have to find a solution that fills each of those gaps.
If a company is found to be non-compliant, they are liable for steep fines. In an effort to avoid such fines, companies have created a variety of solutions:
- Payroll Provider
- Many payroll providers have created ACA solutions for their clients. Unfortunately most payroll providers do not have their client’s benefit information.
- Manually Feed Data into a Compliance Solution
- A company can manually feed their benefit and payroll information into a compliance solution. The downside of this solution is the fact that payroll information is constantly changing.
- Benefit Management System / Brokers
- Many benefit management systems are offering ACA solutions to their clients. While they have their clients benefit information, they lack the payroll information.
- MyPayrollHR powered by XactACA
- MyPayrollHR has partnered with XactACA to bring a best-in-class ACA compliance solution to the market. MyPayrollHR feeds your payroll information into XactACA’s compliance system which tracks all of the necessary data to report complete and correct ACA information keeping you ACA penalty free. This ACA Compliance Solution works with any benefit management system creating a compliance solution that is easy to use.
To learn more information about your Affordable Care Act options, join our webinar August 25, 2015 at 1:00 PM EST.
Sign Up Here >> https://attendee.gotowebinar.com/register/3120744221316579842