What is theEmployer Mandate?“Employer Shared Responsibility Provision”

“Pay or Play Provision”

Coverage Requirement“Under the Affordable Care Act’s employer shared

responsibility provisions, certain employers (ALE’s) must either offer minimum essential coverage that is affordable and that provides minimum value to their

full-time employees (and their dependents), or potentially make an employer shared responsibility

payment to the IRS.” —IRS.gov

Provide qualifying health coverage to your

full time employees or pay a big fine.

Reporting Requirement“The same employers that are subject to the

employer shared responsibility provisions also have information reporting responsibilities regarding

minimum essential coverage offered to employees.” —IRS.gov

Submit 1095-C and 1094-C forms to the IRS.

Provide 1095-C to employees.

Does it apply to my company? Applicable Large Employer (ALE)

• Average of 50 or more full-time employees per month

• Includes full-time equivalents and seasonal employees

• Based on the prior calendar year

Definition of ALE

• Average of 30 or more hours per week (or 130 hours per month)

• Full time equivalent = total number of non-full time hours/120

• May not match your company’s definition of full time

Definition of full time

• Sum of full-time employees + equivalents (for the year) / 12

• Round down to the next lowest whole number

• New company and seasonal worker exceptions

How to calculate

Transition relief may apply to your company if you had 50-99 employees in 2014.

How do I report to the IRS? Navigating the 1094-C and 1095-C

• One per company

• Summary of ACA methods (including transition relief)

• Monthly % of full time employees who received offer of qualifying coverage

1094-C

• One per employee - like a W-2 for benefits

• Monthly codes based on coverage offered, cost, and safe harbors

• Dependents enrollment information (self-insured only)

1095-C

• Updated deadlines on December 28th

• Furnish 1095-C to employees by March 31st

• File 1094-C and 1095-C’s to IRS by May 31st (paper filing) or June 30th (e-filing)

Deadlines

How BambooHR can help ACA Features

We're not ACA consultants, but we are employee data experts, so we like to help

where we can.

Features that will help you with the employer mandate:

ACA employment status tracking

New benefits tracking

ACA benefits and employment status reports

Download 1095-C (Part I auto-filled)

ACA help article

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Check out our help article for more

information and links to official ACA resources.

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