04/15/2023

Payroll User GroupJune 2015 Meeting

with Dan Doolin and Ernie Redfern

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Agenda

•Welcome and introduction• Quick Product Announcement• “Trick and Treat:” ACA 101 Round 2• Common ACA Misconceptions• Q&A: Open questions•Wrap up: What’s next?

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Did you know?

Working with Microsoft Dynamics® GP since 1996

Provide add-on solutions including software, development and consulting services to GP customers since 2000

Original authors of Microsoft Dynamics GP Payroll and HR Extended Pack – so if you have questions, feel free to ask!

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Payroll User Group goals

• Share payroll related information• Share questions and answers• Supplement GPUG and HRP Special Interest Group• Quickly stay informed•Make payroll friends• Discover best practices

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Product Announcement

http://www.integrity-data.com/blog/

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Affordable Care Act 101

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ACA employer mandate:changes facts of business life

Are you ACA payroll-literate?

Standard measurement period

Initial measurement period

Administrative periods

Stability periods

Safe harbor

Rule of parity

Shared responsibility payment

Minimum essential coverage

Minimum value

• Adds to – with intricate calculations – the vocabulary of payroll and HR departments in every company

• Redefines a ‘full-time’ employee and a ‘large’ employer

• Severely limits the ability of employers to split a company into separate entities in order to avoid offering health care coverage

• Requires that employers with 50 or more full-time or full-time equivalent employees choose to ‘play’ or ‘pay’

Play: Work within new federal guidelines for offering coverage

Pay: Not offer coverage and instead contribute to a fund that helps workers find coverage elsewhere

• Sets ‘affordability’ standard for employee contribution to his or her coverage

• Brings a monthly lens to payroll reporting – traditional quarterly and yearly breakdowns don’t make the cut for ACA reporting compliance

• Creates the need for all employers – regardless of their play-or-pay decision – to enhance their payroll systems for new coding and tracking of employee data

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Which employers are at risk of IRS penalties?

Hourly paid workforce

Lower-wage workers

Part-time workers withvarying schedules

Seasonal hires

Frequent turnovers

ACA-vulnerable industriesHospitality

RestaurantsHotelsMotelsCasinosResorts

Employment agenciesStaffing companiesTemp-help services

Nursing careRehabilitation facilitiesSenior living centers

RetailColleges, universities,

schoolsReligious organizationsMunicipalitiesSecurity servicesFood processingTruckingConstructionAgribusinessNot for profits

This is really about part-time workers and the lowest-wage

full-time workers.”

Larry Levitt | Kaiser Family Foundation, a nonpartisan research group that analyzes major health care issues

“

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Elements of ACA enforcementThrough its AIR system = Affordable Care Act Information Returns

The IRS will know for every employee:• Whether he or she has health insurance

and if it was subsidized [return from Applicant]

• What coverage the employee has [return from Insurance Provider]

• If the employee’s coverage came from an exchange, and when [return from Exchange]

• In what month the employee was eligible for coverage at work and if – at that time – he or she was offered by his or her employer an ACA-compliant plan [return from Employer]

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ACA returns that the IRS will be crunching

… and its ACA siblings:

Form 1040

Individual’s tax return, Line 61 of which states whether coverage was acquired

Form 1095-B

Insurance provider’s statement of an individual’s coverage

Form 1095-A

Health Insurance Marketplace statement that an individual received coverage through a federal- or state-run exchange

Form 8962

Statement of Premium Tax Credit from an individual who received subsidized coverage on an exchange

Form 1095-CEmployers’ statement of availability of employer-sponsored coverage

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Why spot-on ACA reporting will be important

$791.9 millionIRS investment in ACA Data interchange

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Who should produce IRS Form 1095-C?

• For 2015, every employer with 100 or more full-time or full-time equivalent employees

• Starting in 2016, every employer with 50 or more full-time employees or full-time equivalent employees

• For 2015, every employer with 50 to 99 full-time or full-time equivalent employees whose organization did not meet the criteria for transition relief

• Every employer who is self-insured, regardless of the number of employees

Filing deadlines for ACA employer forms

February 1, 2016Form 1095-C to employees

February 29, 2016Its transmittal, Form 1094-C, to the IRS

March 31, 2016E-filing of Form 1094-C

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Who should get IRS Form 1095-C?

• Every employee whose hours of service (not hours of work) total 130 in any one month of a calendar year *• Employees in a stability period (those who, during

a look-back period, were found to be full-time) **• Any employee who is on an employer-provided

health insurance plan – even if that employee was not full-time in any month of the calendar year

Hours of service – the ACA standard for calculating full-time status

Time to include:

VacationHolidayIllness

IncapacityLayoff

Jury dutyMilitary duty

Leave of absenceFMLA

* If using the monthly measurement method

** If using the look-back measurement method

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Common Misconceptions

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Quick mentions

• GPUG HRP Special Interest Group (SIG) webinarUsing Position Control in HR to Manage Payroll Expenses Wednesday, August 19, 2015 (2:00 PM) to Wednesday, August 19, 2015 (3:00 PM) (Eastern Time)

• GP 2015 R2 Release – ReleasedTime management appHide/show SSN on Payroll & HR reportsView W-2 in Self ServiceBenefit Self Service – updates new ACA fields

• Integrity Data GP 2015 R2 Product Release – scheduled release July 1

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Q&A open forum

What’s on your mind?

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Wrap-up: What’s next?

• Ideas for next session?•Meet on July 21st? •More Affordable Care Act?

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We’re here to help you

“ Integrity Data’s Support is professional, friendly, knowledgeable, and consistent – they work above and beyond! We appreciate their hard work and backup when implementing Microsoft Dynamics GP and Integrity Data products.”

Integrity Data Partner

Sales Account Executive

Dan Doolindwdoolin@integrity-data.com

888.786.6262 x0203

Customer Support

QuestionsDemos

Materials

Sales Account Executive

Keith Schmidtkschmidt@integrity-data.com

888.786.6262 x0211

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Thank You!ddoolin@integrity-data.com(888) 786-6162 ext. 0203@DanDoolin

Dan Doolin ernier@integrity-data.com(888) 786-6162

Ernie Redfern