The Affordable Care Act – How to win with the ACA
What is it?
Under the Affordable Care Act, businesses with 50+ full time equivalent employees must provide new reporting to the IRS for calendar year ending 2015. Many smaller business owners lack the manpower to complete the complex reporting requirements. And, many payroll providers can’t meet this need, or it’s too expensive.
What does the reporting mean for small employers?
- Each company with 50+ employees must send a 1094-C for their company to the IRS, which is a company-level view of the benefits offered and hours worked.
- Each benefit-eligible employee must receive a 1095-C form, which employers must mail to employees by 1/31/2016.
- Payroll providers either can’t meet this need or when they can, it’s too expensive for smaller employers to use.
- There are now dozens of vendors in the marketplace who can provide this service. Because of the demand, several have already stopped accepting new customers, and many are raising prices each month.
What kind of help do employers need – and how can Colonial Life help?
- A Reporting-Only Solution—the employer has the data and needs help creating the reports
- Our solution: We’ve contracted with a vendor who can provide this service: Goose IAS. They have a discounted $500 set-up fee + $5 per 1095 report
- A Full-Service Solution—the employer needs help with the reporting, but also needs advice and a company to review and certify that the employer is ACA-compliant
- Our solution: The vendor we’ve contracted who can provide this service is Worxtime. They have a discounted $795 set-up fee + $4,000 annual cost.
For Qualifying Accounts – Colonial will subsidize the cost for either service!!
The subsidy is $500 for 50 to 99 employee accounts and $1,000 for 100 or more employees. To receive this benefit, we need to verify that we’ve seen 75% of the employees during the enrollment. (See attached – PEPM ACA Calculators)
The offer is available for a limited time (until October 31, 2015) – so take advantage of it!
Check out a video overview at this link: ACA Offering – Colonial Life Brokers
CONTACT KEN THOMPSON @ 336.945.6975