ALE’s must report the type and cost of medical plans offered to their full time employee population in order to be compliant with Internal Revenue Code 6055 and 6056 regulations. An ALE must report if they had 50+ full time employees, including full-time equivalent employees, on average during the prior calendar year. An ALE that meets this criteria is subject to the employer shared responsibility provisions. (more info …)
For aggregated employers with common ownership between various companies, these are generally combined and treated as a single employer when determining ALE status. (more info …)
Once a company is determined to be required to complete ACA reporting to the IRS, each separate company EIN must complete their own reporting requirements. (more info …)
Choosing the proper vendor to assist you with ACA reporting is a critical decision. To assist, we have developed a few resources which you will no doubt find helpful to analyze your options.
From the (Reporting Packages Section) of our website, choose from the various reporting package options. Actual pricing based upon the number of forms you will need to be filed as a company. For the 2016 reporting season, it will be critical for employers to begin early as the IRS will likely not offer up an extension as they did for the 2015 reporting season. The marketplace has been in a tremendous state of fluctuation and the very best vendors expect to fill up their entire capacity by the end of the summer.
True Full Service ACA Reporting is exactly what it sounds like, and offers the most hands off experience possible for an employer. As a True Full Service client, you are assigned a senior level account manager to guide you through the entire process and offer consulting along the way in regard to ACA penalties, affordability and the tracking of variable hour employees.
The process begins when your account manager conducts a 45 minute discovery interview call. This allows your account manager to learn all about your company, the type of medical plans offered, what rates were charged to your employees, and gives them an opportunity to make safeharbor affordability recommendations.
Since completion of ACA reporting requires our company to come into contact with Protected Health Information (PHI), in order to ensure HIPAA and HITECH compliance on the part of our clients, it is necessary that we jointly enter into a business associate agreement.
When the time comes to complete your reporting in January 2017, we will likely only have 30 days to complete this task (as opposed to 90 days for the 2015 reporting season). For this reason, it is critical to understand ahead of time the format of payroll and insurance carrier data which will be received in January.
For our True Full Service ACA Reporting Clients, you will next need to submit us your raw payroll and raw medical plan enrollment data by the first week in January. Our data team will then take it from there and perform the data processing and formatting work necessary to complete your ACA reporting.
These forms will be sent to you securely via .pdf format. Prior to release, your forms will also be manually reviewed by a senior level account manager to ensure accuracy. You will also receive a full analysis and penalty projection assessment study of your reporting.
If you would like, you can choose to have our print and mail department to issue your created forms to employees. For clients who have made this selection, you will be asked to affirm that your forms are ready for distribution. We will then print and mail these forms to your ACA responsible persons.
We typically prefer to wait a minimum of 2 weeks after issuing forms to medical plan participants prior to completing your E-filing. This delay is purposeful and allows us to correct any errors necessary prior to e-filing. After this period of waiting, we will e-file all client forms to the IRS. Once completed, we will issue a notification to clients confirming that they have completed their requirements for the reporting season.