ACA reporting for individual and employer mandates

Courtesy of Section 125 Plan, FSA, HSA, and HRA Administration

Two key items within ACA – the Individual Mandate and the Employer Mandate – require information from employers who offer health coverage to their employees. This information will tell the government who was offered coverage (and who elected it), whether the coverage was comprehensive and met all ACA requirements, and whether that coverage was affordable. That information is require to be provided to the government through two Internal Revenue Code sections–6055 and 6056–by an insurance company and/or employer.

All employers with 50 or more full-time equivalents (FTEs), as well as all those that are self-funded, are required to comply with the 6055 and 6056 rules. For more detailed information on the “who, what, where, and how”, click here.