Preparing for Affordable Care Act (ACA)Reporting
There are some simple things Passport Payroll customers can do to prepare for Affordable Care Act reporting as follows:
1. Make sure every one of your employee records contains a hire date.
2. For terminated employees, ensure there is a termination date in their record.
3. Make sure every employee has a social security number in their record.
Passport has will have soon have a comprehensive ACA solution to help you manage your workforce and comply with the ACA rules.
Not sure if your company has become large enough to be subject to the Affordable Care Act requirements?
Here’s are some tips from the Affordable Care Act Questions and Answers page from the IRS website:
- An employer determines if it is subject to these provisions for a current year by counting how many
full-time employees and full-time equivalents it employed during the prior calendar year. - For each month of the prior year, the employer counts its employees working an average of
30 or more hours per week as full-time employees and, if it has employees working less than that,
adds the number of full-time equivalents (determined by simply adding up the hours that are worked
by these less-than-full-time employees for the month, but no more than 120 hours per employee, and
then dividing by 120).
The resulting totals from the above for each month in the prior year are added together and then divided by 12 to get an average for the prior year. If the result is less than 50, the employer is not subject to these rules for the current year and may need not take any other action.
(If the result is 50 or more with some of the employees being seasonal workers, certain adjustments may still bring the average down to less than 50.)
More information is available on the IRS website.
CCS will keep you updated on future changes and when pricing for the update becomes available.
Additionally, you can contact CCS Retails Systems for additional assistance.
– John