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Friday, February 16, 2018

What Employers Need to Know About ACA Reporting Requirements 2018


The longevity of the Affordable Care Act (ACA) has likely created a level of uncertainty within your organization over the last year. However, as negotiations continue to unfold employers should be aware that Affordable Care Act reporting obligations are still in effect for the 2017 year-end tax season. All Applicable Large Business Employer and Third Party Administrators must still provide ACA reporting requirements in 2018 for the previous tax year. Any organization that fails to file will face severe ACA filing penalties. This is what employers need to know about ACA reporting requirement in 2018. 


ACA Reporting Requirements 2018


ACA Reporting Deadlines 2018:
Recipient Deadline: Friday, March 2, 2018
Paper Filing Deadline: Wednesday, February 28, 2018
Electronic Filing Deadline: Monday, April 2, 2018



ACA Form 1095-C

All Form 1095 recipient copies must be completed, stamped, and mailed out by March 2, 2018, which is just two weeks away.



This is an extension of the original deadline, as the recipient copies are mailed out by January 31. However, for the 2017 tax year, you will have until March 2, 2018. This extension does not include the deadline for filing 2017 ACA information returns to the IRS.

Employees use the Affordable Care Act Form 1095-C, the Employer-Provided Health Insurance Offer and Coverage Information Returns, to complete their federal and state tax returns.


What are the 2018 ACA reporting Requirements for Form 1095-C?
  • Employee ID Numbers
  • Social Security Number Of Employee and Dependents (Spouses not included)
  • Proof of Minimum Essential Coverage (MEC)


ACA Form 1094-C

ACA Form 1094-C serves as proof that Applicable Large Employers and Third Party Administrators were compliant according to ACA regulations and the Employer Shared Responsibility Mandate. As an ALE or TPA, you are required to reporting information about whether you offered affordable minimum essential health coverage and enrollment to eligible full-time employees.



Still need to file your ACA Forms?! We are here to help! ACAwise is a full-service ACA filing solution helping ALE’s and TPA’s easily file 1095 & 1094 forms online.


Choose the best full-service ACA reporting solution for Applicable Large Employers (ALEs) and Third Party Administrators (TPAs). When you file with ACAwise, you are trusting the most experienced and knowledgeable IRS-authorized software in the industry. Volume-based pricing combined with our US-based ACA experts provide you the best ACA reporting service available. 
Flexible pricing is essential for any business, and we guarantee you are getting the best deal on the market today.


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Thursday, February 15, 2018

2017 Affordable Care Act Reporting Tips For Success


With another year gone the Affordable Care Act (ACA) remains intact meaning another round of reporting is upon us. With thousands of ACA Forms filed, we have learned a thing or two about ACA reporting and compliance. Check out lessons learned about ACA reporting for successful 2017 filing.


2017 Affordable Care Act Reporting Tips For Success



We have boiled down our 2017 Affordable Care Act knowledge into three tips on how to prepare this year's ACA reporting.


Tip 1: Accurate ACA Reporting Data

The success of your ACA reporting depends largely on how accurate your source data is. A seemingly innocent typo in an employee file can sabotage your efforts.

One of the most common reporting errors we have seen is entering Social Security Numbers (SSNs) off by one number. This seems like a simple mistake, but if the number you report does not match in the IRS database, your forms will be flagged as incorrect. This is not only true for your employee but also for their spouses and dependents.

Before submitting your data to our team of ACA experts be sure to review all information for accuracy. The more time you have to cross-check and correct information the greater your chances for successfully filing will be. Our internal system will also check for inaccuracies, and you will be notified immediately to provide the correct information if needed.


Tip 2: Reporting COBRA Health Insurance 

Your ACA reporting will be the same if instead of electing COBRA coverage, the terminated employee enrolls in a retiree health plan. The reporting may vary based on COBRA qualifying events, such as divorce or a reduction in hours. On line 14 of IRS Form 1095-C COBRA coverage offered should not be reported as an offer of coverage. Instead, Code 1H should be entered for the months following termination regardless if the employee elects to accept the coverage. Line 15 and 16 of IRS Form 1095-C the months following termination should be left blank because Code 1H was entered on Line 14. In line 16 enter Code 2A to mark which months the company did not employ the worker.


Tip 3: ACA Reporting Deadlines: Form 1095-C

Although the deadline for providing ACA forms to your employees was extended to March 2nd, there is not much time for human resource professionals and employers to successfully prepare. Businesses that wait until the last moment without ACAwise’s help will struggle to get all the needed information together, and the chance of inaccuracies increase.

The time for action is now! The deadline is coming up fast so to avoid any unwelcomed penalties, contact one of our expert ACA team members today to get started. We are available Monday through Friday 9:00 AM to 6:00 PM EST at (704)954-820 or send us a live chat. We are also available for 24/7 email support at support@ACAwise.com.



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Wednesday, February 14, 2018

The Affordable Care Act Employer Mandate Explained


As a human resources professional, you are well aware of the slew of government reports your business must file in order to stay compliant. Since we have established the Affordable Care Act is here to stay (at least for now), the ACA filing penalties are also here to stay. So what happens if your company does not comply with ACA? Check out what you need to know about the employer mandate.

The Affordable Care Act Employer Mandate Explained


Employers with 50 or more full-time employees are required to provide affordable health insurance that meets a set federal minimum coverage and value.




Important 2017 ACA Deadlines

March 2nd: Provide Forms 1095-B or 1095-C to Full-Time Employees
February 28th: IRS Paper Filing Deadline for Form 1095-B or 1095-C
March 31st: IRS E-filing Deadline for Form 1095-B or 1095-C

The Employers Shared Responsibility provision requires all Applicable Large Employers (ALEs) to either provide affordable health insurance to the majority of their 50 or more full-time employees or pay a per-employee fine. Fines will be used toward a publicly provided system that covers people without private insurance.

“Pay or Play” Penalties

“No Offer” Penalty
Employers did not offer coverage
$2,260 ($188.33 per month) per full-time employee

“Unaffordability” Penalty

  • Coverage offered is deemed unaffordable according to ACA standards
  • $3,390 ($282.50 per month) per full-time employee 

Failure to File/ Inaccurate Filing
  • $260 -$520 per form
  • Cannot exceed $6 million in total

Failure to E-File
  • If your business files 250 or more forms, they are required to e-file
  • $260 per form penalty

How to Avoid Obamacare Mandate Penalties

At ACAwise we are dedicated to helping you file your ACA Forms correctly the first time to avoid any ACA filing penalties! But you are going to need to hurry up and get started today! The deadline for providing Forms 1095-B or 1095-C to Full-Time Employees in March 2nd. There is only so much we can do when time keeps marching on!

If you have any questions about the ACA e-filing process, do not hesitate to give us a call at (704) 954-8420 or send us a live chat during our office hours: Monday through Friday 9:00 AM to 6:00 PM EST. You can also email us at any time at support@ACAwise.com, and we will get back to you as soon as possible!


E-File ACA Today!


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Monday, February 12, 2018

I Received Letter 226J? What Are My Options Now?


The Patient Protection and Affordable Care Act (ACA) is complex. The ACA penalty process being initiated by the IRS is no exception. Employers receiving notifications (Letter 226J) must respond within 30 days to avoid further action by the IRS. The process your business or organization must take to develop your response must be focused and efficient.


I Received Letter 226J? What Are My Options Now?


If you have received ACA penalty notification, you are not alone. Thousands of employers all over the country are receiving IRS Letter 226J for failing to comply with the Affordable Care Act’s shared responsibility provisions in 2015. While reviewing your ACA penalty notification letter use this as a guide for preparing your response.


Review and Plan

IRS Letter 226-J is issued to Applicable Large Employers who were responsible for Employer Shared Responsibility and failed to comply. All ALEs that receive this notification have 30 days to review and respond to the IRS demands payment and takes further action.


Intentionally Not Offering Health Care Coverage

If your organization made the strategic decision not to offer healthcare coverage, this letter and penalties should be an anticipated business expense.


Gather Necessary Information and Data

In 2015 ALEs were required to offer minimum coverage to 70% of all full-time employees (30 or more hours a week). You will need to review the requirements for the year(s) in question and collect all information to respond to the notification.


ACA Filing Assistance

While you are required to interact with the IRS directly, you should reach out to ACAwise for 2017 ACA reporting. Also, if your organization previously filed with ACAwise, we will be able to provide additional help, resources, and information for reviewing the process and determine if any errors were previously made.


Review Previously Filed 1094-C and 1095-C

It might be that case that an employer checked an incorrect box or proved the wrong information. ACAwise walks you through the filing process and will help to review your previously filing 1094-C and 1095-C. We are a full-service ACA reporting and compliance solution, so we ensure the information provided to the IRS is accurate.


Submit IRS Form 14764

ALE’s must agree with the employers shared responsibility payment or disagree with the assessment. To answer notification, Letter 226-J employers must complete and submit Form 14764. Do not submit Forms 1095-C and 10994-C.


Is your business feeling confident about its ability to comply with ACA reporting requirements in 2018? If you are hesitant or wish to speak with an ACA expert on ways ACAwise can help file your ACA Forms confident, contact us and we will be happy to discuss the best way moving forward for your business.








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Thursday, February 8, 2018

What is the Affordable Care Act and How Does it Affect my Business?


The Patient Protection and Affordable Care Act (ACA), unofficially referred to as Obamacare, is a US health reform law that was passed under President Barack Obama’s administration in March of 2010. The goal of the Affordable Care Act (ACA) is to help reduce the number of uninsured individuals in the United States and encourage employers to offer health care benefits. The ACA gives people and their families the opportunity for quality, affordable healthcare coverage.

What is the Affordable Care Act and How Does it Affect my Business?


The Patient Protection and Affordable Care Act

Under the ACA, all employers with 50 or more full-time or full-time equivalent employees in the prior calendar year are considered Applicable Large Employers and must provide 95% of full-time employees with minimum value and affordable healthcare coverage.

Those businesses required to provide healthcare and fail to do so are subject to hefty IRS penalties. If you are unsure about your filing requirements you can add the total number of full-time employees per month and then divide the sum by 12.

For Example:
From January through October an employer has 60 full-time employees per month on the payroll and November through December that number is reduced to 45 per month.

Total: 690

This sum is then divided by 12 to give the employer his average employee count per month.

690/12 = 57.5 employees per month

Because this employer meets the required 50 full-time employees they will need to provide affordable health insurance during the next calendar year.

ACA Filing Deadlines

While a lot is up in the air with the Affordable Care Act employers are still required to file with the IRS and provide recipient copies. For more information about ACA filing deadlines and penalties click the link below.

Guaranteed ACA Reporting and Compliance

There is danger ahead…. ACA penalties are looming in the not so distant future. Severe fines and penalties can cause serious damage to any ALE or TPA. Are you ready to file?

ACAwise has a dedicated team ready to help you navigate through these turbulent times. ACAwise is solely focused on your ACA reporting and compliance by providing an innovative cloud-based system and experienced ACA experts in place to ensure full ACA compliance. Gain peace of mind this ACA filing season!



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Wednesday, February 7, 2018

2018 ACA Deadlines You Need to Know for the 2017 Tax Year


While a lot is up in the air with the Affordable Care Act employers are left asking about their filing responsibilities. While Washington officials continue to debate plans to repeal and replace the ACA, the current rules remain in place for the upcoming 2017 tax year. To address some of the confusion many employers have, check out the 2018 ACA deadlines you need to know for the 2017 tax year.

2018 ACA Deadlines You Need to Know for the 2017 Tax Year




ACA Form 1095-C

Applicable Large Employers (ALEs) and Third Party Administrators (TPAs) are responsible for providing their employees with Form 1095-C by March 2, 2018. These employers are also responsible for filing copies of Form 1095-C with the IRS. Paper filers must be submitted by February 28, 2018, and electronic filers must transmit by April 2nd, 2018.

Employees need the Affordable Care Act Form 1095-C, the Employer-Provided Health Insurance Offer and Coverage Information Returns, to help them complete their tax returns.

What is reported on Form 1095-C?
  • Employee ID Numbers
  • Social Security Number Of Employee and Dependents (Spouses not included)
  • Proof of Minimum Essential Coverage (MEC)


ACA Form 1094-C

Form 1094-C serves as proof that ALEs and TPAs were compliant according to IRS regulation and the Employer Shared Responsibility Mandate. Employers are required to report information about whether you offered the affordable minimum essential health coverage and enrollment to all eligible employees.

Under IRS Code Sections 6055 and 6056 ALEs and TPAs must report coverage and enrollment in regards to the individual mandate on Form 1094-C. Form 1094-C is the transmittal form for Form 1095-C.

Employers filing more than 250 of any type of form must e-file with the IRS (although the IRS highly encourages all employers to e-file all forms submitted). Also, it should be noted that the deadline for paper filing comes one month before the electronic reporting deadline.


Paper Filing Deadline: Wednesday, February 28, 2018
Electronic Filing Deadline: Monday, April 2, 2018



IRS Penalties for Late or Incomplete ACA Forms:

Failure to file accurate Form 1094-C by the deadline will result in a $250 per form penalty, but this amount is capped at $3 million per year. Failure to furnish and file Form 1095-C can result in a $500 per form penalty.

Your ACA Reporting and Compliance Solution

Choose ACAwise to manage and file your company’s ACA reporting and compliance. Getting started is easy, and, with volume-based pricing, you will get the best deal available! Explore all ACAwise has to offer with a free demo. Get to know one of our knowledgeable product managers and learn how we can help you smoothly file your ACA 1094 and 1094 Forms.



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Monday, February 5, 2018

How to E-file Your Businesses ACA Forms


The 2017 ACA Filing deadlines are approaching fast. It’s time to act! We know you are busy, but we wanted to share how to e-file your businesses ACA Forms. All Applicable Large Employers and Third Party Administrators must file their ACA information returns with the IRS as soon as possible to avoid significant IRS penalties.

How to E-file Your Businesses ACA Forms


Step 1:

  • Create or Sign into your ACAWise Account
  • If you don’t have an account “Request a DEMO”

Step 2:

  • Indicate Applicable Large Employer (ALE) or Third-Party Administrator (TPA)
  • Verify Business Information

Step 3:

  • Select Year End Filing to IRS
    • You provide all the necessary information to e-file your ACA Forms: employer/employee data, ACA codes, and other form data
  • or Select Year End Filing to the IRS With Cross Walk
    • Provide employer and employee data then our ACA experts will generate the codes needed to submit your forms

Step 4:

  • Sit Back and Relax
    • Once you have submitted all your information, you get to sit back and relax.
    • We will work to create your forms for your ACA Return.

Step 5:

  • Review Completed ACA Forms
  • Transmit to the IRS

It’s that simple! What are you waiting for? Start e-filing with ACAwise today!


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