Look for important 2024 year-end information in our year-end central section of the Insperity® Help Center. This section provides you with critical information to prepare for the end of the year, including:
Holiday schedules
Year-end maintenance and guidance for adjustments
Tax resources and information about W-2s
ACA compliance deadlines
If you use Insperity’s Workforce Optimization® services for your employees, you will have information and year-end responsibilities specific to the co-employment relationship. Please reach out to your Insperity HR specialist for guidance.
For clients using isolved for Affordable Care Act (ACA) compliance, take steps now to prepare for year-end by ensuring your ACA configuration is complete and correct by Nov. 15, 2024. Review your employee statuses, benefit elections, and ACA measurements to prepare for year-end
1- Determine if you are considered an Applicable Large Employer (ALE) for the 2024 ACA reporting year.
If 50 or more full-time or full-time-equivalent (FTE) employees worked for your organization in the 2023 calendar year, you are considered an Applicable Large Employer (ALE) and must provide ACA-compliant health insurance and report affordability and coverage in 2024.
You can use ACA reports in isolved People Cloud™ to determine your ALE status if you have pay history for 2023.
To run ACA reports, navigate to My Reports and set your Report Category to Benefits – Affordable Care Act and click Filter.
To determine if you qualify as an Applicable Large Employer (ALE) for the 2024 ACA reporting year, select the ACA Large Employer Compliance Test report.
Since ALE status is based on your full-time equivalent employee count in the prior year, run the report for 1/1/2023 – 12/31/2023.
Verify the counts and employee hours history.
If you averaged 50 or more full-time and full-time equivalent (FTE) employees in 2023, you are considered an Applicable Large Employer (ALE).
2- Ensure the right codes are selected for accurate ACA hours of service measurement.
isolved accumulates hours of service each payroll for ALE reporting and ACA measurement. Compare the Employee Hours by Month section of the ACA Large Employer Compliance Test report to your Payroll Register Export by Date Range to ensure the right earning and memo codes are counted.
If you are a client user with the Client Maintenance or View Client Base roles, you can navigate to Client Management > Payroll > Accumulators and view the ACA-Eligible Hours accumulator to see which earning and memo codes are included.
Refer to the IRS Identifying full-time employees guidance to understand which earnings and memo calculations to include as hours of service in ALE and FTE measurements.
3- Review ACA and benefit configuration.
For the system to generate accurate ACA forms for your employees at year-end, your benefit and ACA configuration in isolved People Cloud must be complete and current. Review the following areas to be sure you’re ready for 1095 form generation:
a. Medical benefit plan configuration
Medical benefit plans offering minimum essential coverage for minimum value must be configured to cover all months in the 2024 calendar year.
Medical benefit plans must have accurate employee and employer monthly premium costs for Employee Only coverage on the Rates tab for 2024. Those costs are used to determine if the coverage met ACA affordability standards. If the coverage was too expensive or only met affordability standards using a safe harbor method, they will be included on Line 15 of the ACA 1095-B and 1095-C forms. The system uses the lowest employee only premium cost for health insurance plans they’re eligible for with the Minimum Essential Coverage and Minimum Value boxes checked
Medical benefit plans must have eligibility rules that accurately define which employees were offered coverage under those plans. Eligibility rules should include employees who qualify as full time under ACA rules even though they were hired as part time.
Client users with the Client Benefits role can view benefit plan configuration and run the Eligibility reports from the Options tab to confirm all employees who were offered health insurance coverage are listed.
b. Annual ACA measurement and reporting cycles
4- Review employee statuses and employment categories.
ACA 1095-B and 1095-C forms will automatically code
5- Determine if you are fully-insured or self-insured.
Did you offer health insurance provided by an insurance carrier, or were your group health partially or fully self-funded?
If you contracted with an insurance company to provide health insurance to your employees, the insurance company takes on the responsibility for providing minimum essential coverage details to the IRS in annual ACA reporting. Your health insurance provider will file 1095-B, Health Coverage forms to the IRS since they are the coverage provider.
Sponsors of self-insured group health plans have reporting requirements under the Affordable Care Act (ACA), even if they are not large enough to qualify as an ALE. If your medical plan is fully or partially self-funded and you are too small to qualify as an ALE, you or your third-party administrator must provide additional details to employees and the IRS in ACA filings.
If 50 or more full-time or full-time-equivalent (FTE) employees worked for your organization in the 2023 calendar year, you are still considered an Applicable Large Employer (ALE) and must provide ACA-compliant health care and report affordability and coverage to the IRS. The reporting requirements for 2023 still require employers to provide 1095-C forms to all full-time or full-time-equivalent employees, even though employees no longer need to use the forms to prove health insurance coverage when they file their personal income tax returns. Insurance carriers for fully insured plans will send 1095-B forms to employees. Employers must still file the 1094-C and 1095-C forms electronically with the IRS by March 31, 2024, or pay costly penalties.
Sponsors of self-insured group health plans have additional reporting requirements under the Affordable Care Act (ACA), even if they are not large enough to qualify as an ALE. If your medical plan is fully or partially self-funded and you are too small to qualify as an ALE, you must still provide 1095-B reporting since you are the plan sponsor. If you are an ALE with a self-funded medical plan, you must include the name, birthdate and Social Security number (SSN) for all covered employees and dependents on Forms 1095-C, in addition to the standard ACA coverage and affordability information normally provided on those forms.
For the 2023 ACA reporting year, the federal deadline for providing 1095-B or 1095-C forms to your employees is Jan. 31, 2024. The deadline for filing your Form 1094-B or 1094-C with the IRS (along with copies of the Forms 1095-B and 1095-C distributed to employees) is March 31, 2024 (if filing electronically) or Feb. 28, 2024 (if filing via paper).
To meet ACA reporting requirements, you should compile and analyze data now to verify coverage and affordability. If you purchased the Workforce AccelerationTM solution or Benefits Administration with ACA compliance, the tools you need are included in the isolved HCM. Insperity’s ACA solutions also include ACA printing and IRS filing services.
For clients using isolved for ACA compliance, here are a few important deadlines:
All ACA configuration, including history from prior years, must be completed in isolved no later than Nov. 17, 2023. If you have not yet done so, please return your completed ACA configuration template or schedule a call to discuss your configuration with the ACA team at WA_ACATeam@insperity.com.
Once configuration is complete, you must preview, verify and approve your 1094 and 1095 forms by Jan. 19, 2024.
1095 forms, if approved, will be available to employees who have opted to receive electronic year-end forms in isolved HCM no later than Jan. 31, 2024. For employees who did not provide consent for electronic year-end forms, you must still send them a paper form. For those employees, Insperity will print and send their 1095-B or 1095-C forms to you in sufficient time to mail them by the IRS deadline.
Insperity will begin submitting 1094 and 1095 electronic files to the IRS in mid-February. During the submission process, you may be asked to verify employee names and SSNs if they do not match the IRS or SSA records. You must respond in a timely manner to these requests so our ACA filing team can submit corrected information by the IRS filing deadline. To prevent filing errors, it is a good idea to ask employees now to verify that their SSN and name in the isolved HCM exactly match the legal name on their Social Security card.
Note: If Insperity filed your 2021 ACA information, you will need to contact your benefits operations specialist by no later than Friday, Dec. 15, 2023, to verify reporting details that may have changed since last year.
Look for important 2023 year-end information in our Year-End Central section of the Insperity Help Center. Year-End Central provides you with critical information to prepare for the end of the year, including:
Holiday schedules
Year-end maintenance and guidance for adjustments
Tax resources and information about W-2s
ACA compliance deadlines
If you use Insperity’s Workforce Optimization® services for your employees, you will have information and year-end responsibilities specific to the co-employment relationship. Please reach out to your Insperity HR Specialist for guidance.
Look for important 2022 year-end information in our Year-End Central section of the Insperity Help Center. Year-End Central provides you with critical information to prepare for the end of the year, including:
Holiday schedules
Year-end maintenance and guidance for adjustments
Tax resources and information about W-2s
COVID-19-related tax information
ACA compliance deadlines
If you use Insperity’s Workforce Optimization® services for your employees, you will have additional information and year-end responsibilities specific to the co-employment relationship.
If 50 or more full-time or full-time-equivalent (FTE) employees worked for your organization in the 2022 calendar year, you are still considered an Applicable Large Employer (ALE) and must provide ACA-compliant health care and report affordability and coverage to the IRS. The reporting requirements for 2022 still require employers to provide 1095-C forms to all full-time or full-time-equivalent employees, even though employees no longer need to use the forms to prove health insurance coverage when they file their personal income tax returns. Insurance carriers for fully insured plans will send 1095-B forms to employees. Employers must still file the 1094-C and 1095-C forms electronically with the IRS by March 31, 2023, or pay costly penalties.
Sponsors of self-insured group health plans have additional reporting requirements under the Affordable Care Act (ACA), even if they are not large enough to qualify as an ALE. If your medical plan is fully or partially self-funded and you are too small to qualify as an ALE, you must still provide 1095-B reporting since you are the plan sponsor. If you are an ALE with a self-funded medical plan, you must include the name, birthdate and SSN for all covered employees and dependents on Forms 1095-C, in addition to the standard ACA coverage and affordability information normally provided on those forms.
For the 2022 ACA reporting year, the federal deadline for providing 1095-B or 1095-C forms to your employees is Jan. 31, 2023. The deadline for filing your Form 1094-B or 1094-C with the IRS (along with copies of the Forms 1095-B and 1095-C distributed to employees) is March 31, 2023, (if filing electronically) or Feb. 28, 2023 (if filing via paper).
To meet ACA reporting requirements, you should compile and analyze data now to verify coverage and affordability. If you purchased Workforce Acceleration or Benefits Administration with ACA compliance, the tools you need are included in isolved HCM. Insperity’s ACA solutions also include ACA printing and IRS filing services.
For clients using isolved for ACA compliance, here are a few important deadlines:
All ACA configuration, including history from prior years, must be completed in isolved no later thanNov. 15, 2022. If you have not yet done so, please return your completed ACA configuration template or schedule a call to discuss your configuration with the ACA team at WA_ACATeam@insperity.com.
Once configuration is complete, you must preview, verify and approve your 1094 and 1095 forms by Jan. 21, 2023.
1095 forms, if approved, will be available to employees who have opted to receive electronic year-end forms in isolved HCM no later than Jan. 31, 2023, For employees who did not provide consent for electronic year-end forms, you must still send them a paper form. For those employees, Insperity will print and send their 1095-B or 1095-C forms to you in sufficient time to mail them by the IRS deadline.
Insperity will begin submitting 1094 and 1095 electronic files to the IRS in mid-February. During the submission process, you may be asked to verify employee names and SSNs if they do not match the IRS or SSA records. You must respond in a timely manner to these requests so our ACA filing team can submit corrected information by the IRS filing deadline. To prevent filing errors, it is a good idea to ask employees now to verify that their SSN and name in isolved HCM exactly match the legal name on their Social Security card.
Note: If Insperity filed your 2021 ACA information, you will need to contact your benefits operations specialist no later than Friday, Dec. 9, 2022, to verify reporting details that may have changed since last year.
