As we have communicated over the past 6 months in our “9 steps to successful ACA reporting” campaign, employers need to track employees and their dependents with respect to their health coverage on a monthly basis to ensure ACA recordkeeping compliance. This reporting requirement becomes effective January 1, 2016 with reporting data based on 2015.
It appears that only 10% of employers that were recently surveyed*, have implemented an in-house or outsourced solution to comply with this IRS/Affordable Care Act reporting requirement.
The challenge seems to be where to get the data from and how to compile it when dealing with multiple data sources such as payroll, HR, time and attendance, and benefit administration systems, or data held by third party vendors.
Other concerns that were aired by employers included the capacity to respond to notices from public exchanges, understanding reporting options and data quality. In any case, employers need to act soon to ensure ACA reporting compliance.
*Survey conducted by PWC and Equifax.