Affordable Care Act

Reporting & Filing Assistance

Valley offers Affordable Care Act reporting that analyzes all your employees and classifies them in the proper employment category.

The Employer Shared Responsibility provision of the ACA requires business with 50 or more employees for the previous calendar year to provide affordable health insurance to all full-time or full-time equivalent (FTE) employees. The provision considers employees working 30 hours or more per week as full-time employees.

Valley’s ACA Information Reporting Suite uses the existing data we collect for your payroll processing and creates a comprehensive ACA package that contains the information needed for full compliance.

The ACA Information Reporting Suite Features
  • Applicable Large Employer: A report summarizing the average full-time and full-time equivalent employees on a month by month basis in the prior calendar year to inform you if your company is subject to ACA shared responsibility rules.
  • Commonly Owned Or Related Entities: The ACA mandates that companies under common ownership be aggregated to determine if the employers are subject to the shared responsibility provision. Understanding your business structure, Valley can use the payroll details from multiple Federal Identification Numbers to determine if the aggregated group is subject to this provision.
  • Part-Time / Full-Time Reporting: Correct classification is critical to determining if the employer is required to offer affordable health insurance to the employee. We track and report the average hours during the measurement period and let you know the exact calculated ACA status of all employees based on your payroll records.
  • Coverage Alerts: Employers are required to offer full-time employees affordable health insurance coverage. The coverage alert report will identify full-time employees that do not have health insurance coverage during the current year. Employers can easily review the employees that must be offered insurance coverage or ensure they have the waivers declining employer coverage for the applicable employees.
  • Variable Hours Data Report: For recently hired part-time employees, average hours are tracked for the initial measurement period (first year of employment) to determine if and when these employees must be offered health insurance coverage.
  • Affordability: Reporting any full-time employee currently receiving employer benefits that are not considered affordable as required by the ACA. Health insurance benefits being offered by the employer must not cost more than a percentage of the employee’s taxable wages.
  • 1094/1095 C Forms: Applicable large employers (those with 50 or more full-time employees in the previous calendar year) must file annual returns with the IRS and their employees. Valley will complete these required forms and file them with the IRS on your behalf.
  • Medical Loss Ratio Rebates: Rebates could be issued by the insurance company in the form of premium reductions, cash to your company or cash to your employees. If your company provides pre-tax contributions to your employees for health insurance and you receive cash you generally need to distribute these rebates to active employees that participate in the insurance plan. There are tax implications that we will handle within your normal payroll processing.
  • W2 Reporting of Employer Health Cost: ACA requires certain employers to report the cost of coverage under employer-sponsored group health plans on their employees’ W2 form. We assist by keeping you compliant with this reporting, which is currently mandatory for employers who report 250 or more W2.