The IRS released the final versions of the forms required for the Affordable Care Act (ACA) reporting in February 2015. Sage currently plans to release this enhancement in product updates (PU) only for Sage 100 versions 4.50 and higher:
- 2014 PU5 (Released March 30, 2015) – Search KB 60428 to download and install 2014 PU5
- 2015 PU1 (Released April 7, 2015) – Search KB 60763 to download and install 2015 PU1
- 2013 PU9 – June 29, 2015
- 4.50 PU8 – June 29, 2015
How to Tell If Your Company Needs This Enhancement
This product update for Payroll will include a new Crystal Report, which will help you determine if you qualify as an applicable large employer (ALE). ALEs are required to report on compliance with providing affordable health care to employees. Companies with at least 50 full-time and full-time equivalent (FTE) employees will be required to file a report in January 2016 (for tax year 2015). This report will provide options to report on the:
- Total number of employees
- Number of full-time employees
- Number of FTEs
- Average number of hours worked by employee per calendar month
Updating Your Employee Stats
After you’ve printed your ALE report, a prompt will ask if you wish to update your “ACA Employer Maintenance Monthly Detail” screen.
If you choose “Yes,” you’ll have access to new interface screens. You also can access these screens from a new “Payroll” menu task or from within Employee Maintenance. These screens make it easier to enter or import the employee, employee’s dependent(s) and health insurance offering data—all of which will be required on the forms.
Regardless of whether your employee has accepted your offer of coverage, monthly detail of the offer must be tracked for reporting purposes. The screenshot below shows how this information will be entered. The copy button can be used to streamline data entry.
On the other hand, if your employee has accepted your offer of coverage, you’ll be able to enter the information needed for reporting purposes on the covered individuals. In the example screenshot below, Jim got married in April, at which time he added his spouse to his health insurance plan.
If You Manage More Than One Company
If you report on more than one company and have selected the “Aggregated Group Indicator” checkbox in the “Monthly Details” dialog, a button labeled “Other Members” will be enabled. This allows entry of the additional companies (name and Employer Identification Number) to be included in the report. These details also have been included in the screenshots above.
Staying on top of ACA is critical and challenging, particularly when it comes to your legal obligations. With all the delays, legislative changes and shifting regulatory interpretations over the past few years, you may be feeling a little overwhelmed now that 2015 is here.
To assist you, Sage has set up an ACA center on Sage City, which includes many assets you may find useful in navigating the changes. Please note some assets require an active Sage Business Care plan to access. For more information, feel free to contact us.