The Affordable Care Act (ACA) has ushered in major changes in workforce planning and HR management for numbers of employers.
Because continued changes in the regulations and for your employees are inevitable,maintaining compliance will become increasingly challenging and complex.
When the smallest error can result in significant penalties it is imperative to have the right infrastructure in place to manage the ACA compliance effectively.
What Employers Are Predicting About the Future of the ACA and Business
Each year for the last six years, the International Foundation of Employee Benefit Plans (IFEBP) has conducted a survey of employers on their views about the Affordable Care Act and it's impact on business.
According to their 2015 survey, employers say 2016 will be the costliest year yet for ACA compliance. The impending Cadillac tax - which has since been delayed to 2020 - followed by administrative costs and costs associated with reporting, disclosure and notification are expected to be the top future cost drivers.
Here is a graphic view of some of the highlights of their results:
ACA Compliance and Your HR Management
Because of the complexity of the ACA's reporting requirements, HR managers and employers should take the following actions:
• Learn about the new information reporting requirements and review the IRS reporting forms.
• Develop procedures for determining and documenting each employee's full-time or part-time status by month.
• Develop procedures to collect information about offers of health coverage and health plan enrollment by month.
• Review ownership structures of related companies and engage professionals to perform a controlled/affiliated service group analysis.
• Discuss the reporting requirements with the health plan's insurer/third-party administrator and the company's payroll vendor to determine responsibility for data collection and form preparation.
• Ensure that systems are in place to collect the needed data for the reports.
A Reliable Resource for Your HR Management Needs
An updated and streamlined reporting strategy will help your organization meet its obligations, while providing accuracy and timeliness. So take time to understand the law and prioritize accurate record keeping. In this way, you will make compliance a sure thing.
Another key step in maintaining HR compliance and increasing your company's cost-effectiveness is to consider outsourcing. A professional agency such a Accuchex can provide much-needed help with Human Resources needs and questions. Accuchex is a full spectrum Payroll Management Services provider offering expertise in Time Management, Insurance and Retirement issues, as well.
If you are looking for reliable resource for your HR issues, we can help. And you can get your Free Download: Payroll Outsourcing Guide to help you make an informed decision, or call Accuchex Payroll Management Services at 877-422-2824.