The addition of section 6056 to the Affordable Care Act (ACA) makes it mandatory for an Applicable Large Employer (ALE) to adhere to certain guidelines as laid down in the said section. Every ALE company is required to assure that at least 95% of their employees and dependents have are covered by compliant health insurance. An ALE company has to keep records and file annual returns with the IRS and provide employees a copy of their health insurance coverage.
AMGtime helps companies to:
Most likely you are already tracking the worked time and attendance of your employees for other reasons, such as reporting, audits, close control of labor costs, payroll, etc. Who better than AMGtime ACA Compliance time tracking software provider to run a report on all your employee's statuses and hours to decide if you are considered ALE or not based on the ACA requirements?
The annual penalty for not offering required coverage generally is $2,000 per employee minus 30 full-time employees.
200 FTE company –
30 Excludable Employees =
[that penalty will be based on]
170 X $2000 =
Penalty levels will be different if coverage is offered but does not meet the affordability and minimum value test, and/or an employee obtains a marketplace subsidy.
Check out our ACA time and attendance tracking solution by clicking here and/or call us at 1 (800) 960-3735.