Affordable Care Act (ACA) Year End Reporting

NOTE: This article relates to year-end reporting for the 2023 tax year and will be updated yearly to incorporate the latest process and information.

This article details how to navigate the Human Resources ACA reporting. We cover the process in four main sections:

Setup

Employer Annual Setup

Everyone completes the Employer setup each reporting year.

  Navigation: ETMS > Human Resources > Legacy Human Resources > Affordable Care Act

Select the Payroll Year from the dropdown list. Only payroll years that have been built in the Payroll Module will be available for selection.

  1. Click Employer Setup – Complete the form (see the chart below for field information).

Field Name Max Field Size Data Type Description
Part I  
Payroll Year   Numeric Auto-populates based on the selection on the main form.
Employer Tax ID 9 Alpha/ Numeric Enter the Agency's EIN. Do not include the hyphen
Employer TCC 10 Alpha/ Numeric Enter the Agency's TCC number.
Original Receipt ID 20 Alpha/ Numeric Enter the Original Receipt ID if resubmitting the file.
Employer Name 50 Alpha/ Numeric Enter the Agency's name.
Street Address 50 Alpha/ Numeric Enter the Agency's street address.
City

30

Alpha/ Numeric Enter the Agency's City.
State

2

Alpha/ Numeric Enter the Agency's State.
Zip Code

10

Alpha/ Numeric Enter the Agency's Zip Code.
Contact Name 50 Alpha/ Numeric Enter the name of the person who would be contacted in the event of questions on the report submitted.
Contact Email 50 Alpha/ Numeric Enter the Contact person’s email address.
Contact Phone

15

Alpha/ Numeric Enter the Contact person’s phone number.
Ext

5

Alpha/ Numeric Enter the Contact person’s phone extension.
Total Forms Submitted   Numeric Enter the number of forms being submitted for the year selected.
Field Name Description
Part II  
  Check all applicable boxes
Part III  
Minimum Essential Coverage Offer

If the employer offered minimum essential coverage to at least 95% of its full-time employees and their dependents for the entire calendar year, enter “X” in the “Yes” checkbox for “All 12 Months” or for each of the 12 calendar months.

If the employer offered minimum essential coverage to at least 95% of its full-time employees and their dependents only for certain calendar months, enter “X” in the “Yes” checkbox for each applicable month.

For the months, if any, for which the employer did not offer minimum essential coverage to at least 95% of its full-time employees and their dependents, leave the box unchecked.

If the employer did not offer minimum essential coverage to at least 95% of its full-time employees and their dependents for any of the 12 months, leave the checkbox for “All 12 Months” unchecked.
However, an employer that did not offer minimum essential coverage to at least 95% of its full-time employees and their dependents but is eligible for certain transition relief described in the IRS instructions under Section 4980H Transition Relief for 2015 should enter an “X” in the checkbox for Minimum Essential Coverage Offer, as applicable.
Note: For purposes of the Minimum Essential Coverage column an employee in a Limited Non-Assessment Period is not counted in determining whether minimum essential coverage was offered to at least 95% of an employer’s full-time employees and their dependents.

Full-Time Employee Count Enter the number of full-time employees for each month, but do not count any employees in a Limited Non-Assessment Period. (If the number of full-time employees (excluding employees in a Limited Non-Assessment Period) for a month is zero, enter 0.) If the employer certified that it was eligible for the 98% Offer Method by selecting 98% Offer Method in Section II, it is not required to complete this column.
Total Employee Count If the total number of employees was the same for every month of the entire calendar year, enter that number in “All 12 Months” or in the boxes for each month of the calendar year. If the number of employees for any month is zero, enter 0.
Aggregated Group

An employer must complete this column if it checked “Yes” on Aggregated ALE Member field in Section II, indicating that, during any month of the calendar year, it was a member of an Aggregated ALE Group.

If the employer was a member of an Aggregated ALE Group during each month of the calendar year, enter “X” in the “All 12 Months” box or in the boxes for each of the 12 calendar months. If the employer was not a member of an Aggregated ALE Group for all 12 months but was a member of an Aggregated ALE Group for one or more month(s), enter “X” in each month for which it was a member of an Aggregated ALE Group. If an employer enters “X” in one or more months in this column, it must also complete Part IV.

Section 4980H Transition Relief If the employer certifies by selecting 4980H Transition Relief in Section II, that it is eligible for Section 4980H Transition Relief and is eligible for the 50 to 99 Relief, enter code A. If the employer certifies by selecting 4980H Transition Relief in Section II, that it is eligible for Section 4980H Transition Relief and is eligible for the 100 or More Relief, enter code B. An employer will not be eligible for both types of relief.

Create New Year

If this is your agency's first time setting up the ACA report, you can skip this step.

  1. Select the Previous Reporting Year from the dropdown list.
  2. Click Create New Year

  3. Select the reporting year from the dropdown list.
    NOTE Only payroll years that have been built in the Payroll Module will be available for selection.
  4. Click Start.
  5. Click Yes on the Confirmation message to continue; Select No to cancel.
  6. Only those employees whose payroll status is ‘Active’ at the time the new payroll year is created will be included in the reporting year’s data.  Employees who had monthly data entered for Coverage, Premium, and Safe Harbor in the previous year will have to be edited in the reporting year; all fields will be blank. 

    On the Employer Setup form, all fields will be cleared in the reporting year; current year information will have to be entered.

Employee Initial Setup

There are two methods for building out the initial employee data. Method 1, where each employee is selected, and all information is entered for the employee. Method 2, where all employees are listed and data can be entered for Coverages, Premiums, and Safe Harbor. You can use one or both methods to build your employees. Only those employees whose payroll status is Active at the time the new payroll year is created will be included in the reporting year's data. These employees will need to be added manually using one of these methods.

Method 1

Entering all employee data on a single form [dependents (Covered Individuals) must be entered using this form].

  1. Select the employee number from the dropdown list or search by first or last name:
    ACA Setup.png
    • Coverage Code: For each calendar month, select the applicable code from the dropdown list. If the same code applies for all 12 calendar months, select the applicable code in the “All 12 Months” box and do not complete the individual calendar month boxes, or complete all of the individual calendar month boxes.
    • Lowest Cost Premium: Complete line 15 only if code 1B, 1C, 1D, or 1E is entered on Coverage Codes either in the All 12 Months box or in any of the monthly boxes. Enter the amount of the employee share of the lowest-cost monthly premium for self-only minimum essential coverage providing minimum value that is offered to the employee. Enter the amount including any cents. If the employee is offered coverage but is not required to contribute any amount towards the premium, enter 0.00 (zeroes) - Do not leave blank. If the employee share of the lowest-cost monthly premium amount was the same amount for all 12 calendar months, enter that monthly amount in each monthly box or enter that monthly amount in the All 12 Months box and do not complete the monthly boxes. If the employee share of the lowest-cost monthly amount was not the same for all 12 months, enter the amount in each calendar month for which the employee was offered minimum value coverage.
    • Safe Harbor Code: For each calendar month, enter the applicable code, if any, from Code Series 2. You may enter only one code from Code Series 2 per calendar month. The instructions below address which code to use for a month if more than one code from Series 2 could apply. If the same code applies for all 12 calendar months, enter the applicable code in each monthly box or enter the code in the All 12 Months box. If none of the codes apply for a calendar month, leave the line blank for that month.
    • Zip Code: Enter the employee’s zip code (if applicable)
    • Covered Individuals: Check the box if completing Part III.
    • Plan Start Month: Enter the month that the Agency's insurance policy is effective.
    • Birth Date: Auto-populates from the Employee Master file
    • Employee’s Age @ January 1st: Calculated based on the employee’s date of birth and the ACA reporting year
    • Voided: Check the box if the selected employee’s record is being voided.
    • Corrected: If after submitting the original file, corrections are needed on an employee’s record, check the box to flag the record as corrected.
    • Complete Part III (Covered Individuals) ONLY if the employer offers employer-sponsored self-insured health coverage in which the employee or other individual enrolled.
    • If the employer is completing Covered Individuals, enter “X” in the Covered Individuals check box. If the employer is not completing Covered Individuals, leave the box unchecked.
    • Dependent (Covered Individuals) information is entered on the Employee Setup form (menu item #1 on the Human Resources [HR] menu).
    • Click Dependents:

      Field Name Max Field Size Data Type Description
      Dependent # 3 Numeric Enter a unique number for each dependent.
      Dependent Code 2 Alpha/ Numeric Select the user defined Dependent Code from the dropdown list.  New codes can be added by clicking the green checkmark.
      Title 4 Alpha/ Numeric Select the user defined Title from the dropdown list, if applicable.  New titles can be added by clicking the green checkmark.
      First Name 15 Alpha/ Numeric Enter the Dependent’s first name.
      Middle Name 15 Alpha/ Numeric Enter the Dependent’s middle name (Optional Field).
      Last Name 20 Alpha/ Numeric Enter the Dependent’s last name.
      Address Line 1 30 Alpha/ Numeric Enter the Dependent’s address.
      Address Line 2 30 Alpha/ Numeric Enter the second line of the Dependent’s address if applicable.
      City 15 Alpha/ Numeric Select the Dependent’s city from the dropdown list.
      State 3 Alpha/ Numeric Select the Dependent’s state from the dropdown list.
      Zip 20 Alpha/ Numeric Enter the Dependent’s zip code.
      Social Security 11 Alpha/ Numeric Enter the Dependent’s Social Security Number (ACA requires either the dependent’s SSA or date of birth).
      Date of Birth   Date Enter the Dependent’s birth date (ACA requires either the dependent’s SSA or date of birth).
      Relationship 10 Alpha/ Numeric Enter the Dependent’s relationship to the employee (Optional Field).
      Gender     Select the Dependent’s gender from the dropdown list (Optional Field).
      Comment 255 Alpha/ Numeric Enter any comments relevant to the Dependent.  (Optional Field).
  2. Method 2: Entering Coverages, Premiums, and Safe Harbor.
    • Click Only Coverages – Complete all applicable fields for all listed employees.

      Field Name Max Field Size Data Type Description
      Employee Number     Select each employee number from the dropdown list.
      Coverages 2 Alpha/ Numeric Enter the applicable Coverage code(s) for each employee.
      Double-clicking in the employee number field on this form displays the full detail employee form.
    • Click Only Premiums – Complete all applicable fields for all listed employees.

      Field Name Max Field Size Data Type Description
      Employee Number     Select each employee number from the dropdown list.
      Premium   Currency Enter the applicable Premium(s) for each employee.
      Double-clicking in the employee number field on this form displays the full detail employee form.
    • Click Only Safe Harbor – Complete all applicable fields for all listed employees.

      Field Name Max Field Size Data Type Description
      Employee Number     Select each employee number from the dropdown list.
      Safe Harbor 2 Alpha/ Numeric Enter the applicable Safe Harbor code(s) for each employee.

Additional Setup

Delete

  1. Click Delete to delete the selected employee’s data from the selected payroll year, the following confirmation message displays:

  2. Click Yes to continue with the deletion; Select No to cancel. Click OK on the deletion confirmation message.

All Years

  1. Click All Years; the following form displays for the selected employee:
  2. Double-click in the Year field to display the Employee detail form:

Delete Year

  1. Click Delete Year to delete ALL information for the selected year, the following confirmation message displays:
  2. Click Yes to continue with the deletion; Select No to cancel. The following confirmation message displays; Click OK.

Correction Search

  • Click Correction Search to view all records with their Original Receipt IDs.

Update Zip Code

  1. Click Update Zip Code to update employees’ zip code on the ACA form (if applicable) from the data on the employee master form. Miscellaneous codes must be pre-defined to identify which ACA Coverage Codes are applicable for this process. The codes listed are an example, the user must determine which codes are applicable to their reporting requirements.

  2. To update the ZipCodeCoverageCodes Misc Code.

    • Go to Human Resources > Legacy Human Resources > Setup > Misc Codes (HR).

    • Choose AffordableCareAct from the dropdown menu

Printing 1094-C, 1095-C, and Other Reports

  1. Click Reports to print reports and 1095-C and 1094-C forms; the following form displays:
  2. Check the applicable box to generate each report.
    • Employer Detail Report will show you what information will print on the 1094-C.
    • Employee Detail Report will show you what information will print on the 1095-C.
    • 1094-C Employer Report will print the 1094-C information on the form.
    • 1095-C Employee Report will print the 1095-C information on the form.-

Form numbers are from www.greatland.com. These formats have been tested and comply with the software.

Employer Detail Report

Employee Detail Report

The 1094-C Employer Report and 1095-C Employee Report are formatted to print on pre-printed forms as prescribed by the Internal Revenue Service.

Create File

  1. Click Create File

    Field Name Max Field Size Data Type Description
    Path to File    

    Click the green check mark (see below).**

    Once the path has been entered, select it from the dropdown list.

    Prior Year Indicator   True/False Leave unchecked if filing for current filing year.
    Transmission Type    

    Select the applicable Transmission Type:

    O – Original Submission – this will be used for the first submission.

    C – If the file has been accepted with errors and you are submitting a file with the corrections, select C.  The corrections file will only include those employees where the Corrected checkbox was checked.

    R – If the IRS instructs you to resubmit the entire file.

    Test File Indicator     Select ‘P’ from the dropdown list.
    Employer Tax ID     Auto-populates based on the Employer Setup.
    Employer TCC     Auto-populates based on the Employer Setup.
    ACA Corrected   True/False Leave unchecked if transmitting original file.
    Original Receipt ID 20 Alpha/ Numeric After transmitting the file to the IRS, enter the Receipt ID and click Update Receipt ID.
  2. The following form displays:

    IMPORTANT: The SoftwareID will change each year by the IRS. All Avail-hosted ETMS agencies will receive this update automatically on January 1st, 2024. Self-hosted agencies must manually update the software ID. See Software ID for ACA Electronic Reporting for more information.
    Tax Year 2023 SoftwareId = 23A0018274

    Field Name Max Field Size Data Type Description
    Path to File 50 Alpha/Numeric Enter the path to the location where the file will be exported.
    All remaining fields must be completed EXACTLY as shown above.
  3. Click Start:
  4. Click Yes to continue, No to cancel.

Electronic Filing

  1. After the file has been created, go to www.IRS.gov and type AIR in the search box:
  2. Click on the Affordable Care Act Information Returns (AIR) hyperlink:
  3. Click on the User Interface (UI) Production System hyperlink:
  4. Log in using your IRS username and password.
  5. Select your organization and click Submit Selected Organization.
  6. Upload ACA Forms. Both the Manifest File and the Form File must be uploaded.
    • Manifest: Locate the file in the location as specified in the Path To File. There will be two files in that location. Select the file named Manifset_1094C_Request (the remaining name of the file is specific to your Organization and the date and time the file was created).
    • Form: Locate the file in the location as specified in the Path To File. There will be two files in that location. Select the file named 1094C_Request_(the remaining name of the file is specific to your Organization and the date and time the file was created).
  7. Click Transmit.
    The following Transmission Confirmation displays. Please print the form as you will need the Receipt ID number to check the status of the transmission.

It takes anywhere from 15 to 60 minutes for the file to be reviewed.

To check the Transmission Status, you will need your TCC number and Receipt ID from the transmission file.

If your notice lists errors, please contact the IRS, or follow this link for ACA resources on the IRS webpage:
https://www.irs.gov/for-tax-pros/software-developers/information-returns/affordable-care-act-information-return-air-program.

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