ACA REPORTING FOLLOW-UP

ACA REPORTING FOLLOW-UP

We have received some excellent questions and feedback from our earlier ACA Blog post.  As a result, we have added two mass update processes under the Payroll > Maintenance > Set, Change or Clear menu as follows:

Set Group Health Insurance Eligible Using Employment Type

This is a process exceptions report that will allow users to set default Group Health Insurance fields and checkboxes for existing employees, and override the date on individual employees as necessary.

Set Group Health Insurance Using Deduction Setup

The process enables the user to be able to set the employee’s participation status and eligible status to true (checked) and false (unchecked) using codes set up on the deduction description.

There are a number of ranging options when setting  these fields in mass which can be reviewed on the range screen. Since these are both mass updates, you will still need to review each employee separately to ensure setups are correct.

The release date for these changes is 01/07/2015.

Coverage Code Definitions

Below are the definitions for each of the health insurance coverage codes, per the instructions on the IRS website.  We felt this list would be helpful to you as you make the changes in the software:

  • Code 1A denotes a Qualifying Offer, which is an offer of minimum essential coverage providing minimum value to a full-time employee with an employee contribution for self-only coverage equal to or less than 9.5% of the mainland single federal poverty line, and at least minimum essential coverage offered to the spouse and dependent(s).
  • Codes 1B through 1E indicate that minimum essential coverage providing minimum value was offered to the employee only, or employee plus dependents, or employee and spouse, or to all.
  • 1F denotes that minimum essential coverage NOT providing minimum value was offered.
  • 1G identifies an employee who was not full-time for any month of the year, but was offered coverage and enrolled in self-insured coverage for one or more months of the calendar year. If applicable, Code 1G must be entered in the “All 12 Months” box. The monthly boxes should NOT be completed.
  • 1H is used to report that an employee was not offered any health coverage, or was offered coverage that is not minimum essential coverage.
  • Code 1I is used to establish the Qualified Offer Transition Relief for 2015.

While RDA is working to provide the tools necessary to meet the new ACA reporting requirements, specific questions on reporting requirements and issues should be directed to the IRS, as they are the expert on this topic.  Below is the link to the IRS web page provided to employees:

http://www.irs.gov/Affordable-Care-Act/Employers

Also the IRS website states…

“Drafts of the forms, including Forms 1094-B, 1095-B, 1094-C, and 1095-C, are available at irs.gov/draftforms, and final versions of the forms will be made available in accordance with usual procedures.”

We will continue to provide you with information as it pertains to changes within OpenRDA.

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