Prepare for Lines 14 and 16 of IRS Form 1095-C by assigning ACA attributes to your insurance plans in Integrity Data's ACA Compliance Solution
In this video, I will show you how to assign Affordable Care Act attributes to the benefit plans that you offer to your employees. The Affordable Care Act attributes that we assign to our benefit plans will impact the values that get put into line 14 and line 16 of the employees 1095-C.
In this example, we will walk through the ACA attributes of our insurance healthcare benefit plan. You can dictate whether the plan is a qualifying offer or not. If not, then you can check if the plan provides minimum essential coverage and minimum value to the employee. You can also indicate who the plan covers employees spouses and or dependents. Those values impact line 14 of the 1095-C. You can indicate the start date and the end date of the plan year.
In this example, our plan year begins on 1-1-2018 and ends on 12-31-2018. Next, we can identify the safe harbor that you'd like to use for the affordability calculation. The W-2 income safe harbor, the rate of pay safe harbor or the federal poverty line safe harbor. In this example, we've chosen the federal poverty line safe harbor. You can also check if this plan is a least cost plan. You can indicate if the plan is a self-insured plan.
Next, insert the self only cost of the plan and the percentage to be used for the affordability calculation. In this example, we use the 2015 value of 9.56% of the federal poverty line. Once you have the information entered, you can select update.
Now, as we process the year-end for Affordable Care Act compliance and generate the 1095-Cs for the employees, this information will be used to populate the 1095-C.