Penalties for not complying with new reporting requirements under the Affordable Care Act’s employer mandate rules range from $3,000 to $10,000, and can also trigger a Department of Labor (DOL) audit costing $100,000 or more in fees and soft costs. As a result, many vendors are using fear of non-compliance to price gouge companies with their data tracking tools.
USI has taken a different approach to first educate our clients on the forms and documentation necessary, and to provide tools and options to manage data in order to be compliant.
For example, we recently worked with a NY based accounting firm that was using separate HRIS and payroll systems. When the firm approached its vendors for a solution, both responded they could only assist if the services were consolidated. After explaining the nuances of the program to the firm, including the fact consolidating could be costly and disruptive, USI presented a simplified program for under $1000.
Understanding these compliance requirements and the tools necessary to track can be confusing and overwhelming. Check out this brief article titled: Employers Face Looming Reporting Deadline, which reviews the forms, deadlines and tracking necessary for different size employers.