Is Your Organization Ready to File the 1094-C Form?

Tax PlanningIf you employed more than 50 full-time or full-time equivalent employees last year, you must file a 1094-C form this year to ensure your company is compliant with the latest Affordable Care Act guidelines. Failing to file, or filing incorrectly, could mean hefty penalties for your company; so start now to make sure you’re ready to file in the new year.

Here’s what you need to know about ACA and the 1094-C form.

Do you need to file?

If your company is an Applicable Large Employer (ALE), you need to file a 1094-C. To determine whether your company is classified as an ALE, do the following:

  • Count your full-time employees by month. This includes anyone who worked at least 30 hours per week, or 120 in a month.
  • For part-time or temp hires, combine all of their hours for each month (but don’t include any more than 120 hours per employee), and divide by 120. Your total is the number of full-time equivalent employees for that month.
  • Combine your full-time and full-time equivalent employees for each month. If you averaged more than 50 for the year, your company is considered an Applicable Large Employer and you need to file.

What do you need to file?

In order to file a 1094-C form, you need the following information:

  • The employer’s name, employer ID number, and contact information
  • The number of 1095-C forms you filed.
  • Your monthly counts of full-time and full-time equivalent employees.
  • Total employee counts for each month.
  • Proof that you made minimum essential health coverage available to all of your full-time equivalent employees and their dependents.
  • Any special rules or transition relief you may have qualified for.
  • Information regarding any controlled employer groups or affiliated service groups you may be a part of.

When do you need to file?

If you expect to file your 1094-C on paper, you need to have everything submitted by Monday, February 29, 2016. If that’s too soon, electronic filings aren’t due until Thursday, March 31.

That’s still a few months away, but don’t wait. There is a lot of information to gather, and chances are it won’t all come from a single department. Start pulling together the information above as soon as possible, so you can avoid any late-filing penalties.

What about temp hires?

Madden Industrial Craftsmen strives to be the leading industrial staffing company in the Northwest by developing lifelong customer relationships and recognizing and rewarding our employees’ skills and contributions. Contact us today to get started!

 

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