Ascentis Blog

Information to help HR and payroll managers, recruiters, and compliance officers become more effective.

Employer Provided Healthcare Coverage Reporting

Back in January of this year, we provided a HealthCare Reform Checklist. On that checklist was a reminder to all to “Consider necessary changes to your payroll system in preparation for compliance with the requirement to report employer-provided health coverage on Form W-2. Reporting by employers is optional in 2011.”

 

This is a timely update to that post.

 

 

A week from today, on Monday 10/31 at 11:oo am PST, the IRS will be holding a webinar about the requirements for reporting on employer sponsored health coverage. You’ll learn what changes employees will see in the future on their Form W-2 when reporting becomes required. You’ll learn WHEN you’ll be required to start reporting. The IRS will also talk about transitional relief for specific employers, plans and situations.  Furthermore, you’ll learn which employers will need to report, how you will be required to do so, and what valuation methods employers are allowed to use to determine the amounts to report on Form w-2.

 

Sign up for the IRS W-2 Reporting webinar by clicking here.

 

Ascentis Payroll already fully supports this reporting function. If your current payroll provider doesn’t, you should consider changing partners. If you’re an Ascentis customer already, and you have questions about getting this reporting function set up, please contact your Ascentis representative.

 

For an informative (and fun) lesson on what to expect for upcoming changes in healthcare reform, and what is required of you, the employer, watch the video below from the Kaiser Foundation.

 

Building a Business Case to Purchase an HRIS, Part 4

Building a Business Case, Part 4

 

While attendance management may seem like the most basic and simple of HR tasks, it presents more problems than are initially obvious. Ask yourself, “Can I rely on all my managers to consistently log my employees’ sick or vacation days?” If the answer is “no,” you are unnecessarily accruing liabilities that affect your company’s bottom line.

 

The main areas that can benefit from automation are time clock management, and vacation, sick, and other time off policies. Many employees don’t keep track of how many vacation days and sick days they are entitled to or have taken. If you ask any HR manager for the most frequently asked question they receive, they’ll most likely repeat, “How much time do I have available for my vacation today and how much will I have in one month’s time?” It’s one of the most common inquiries an HR department has to deal with and one which frequently equates to time and effort wasted on a mundane tasks executed by highly-paid HR professionals.

 

What if an employee could log onto a secure HR system and simply look up the information they need? Easier still, what if that system could easily show the employee the amount of leave taken and allow the employee to make online leave requests?  From a departmental manager’s standpoint, imagine theses processes:

 

An employee makes a request for vacation.

 

The employee’s manager receives an email from the employee requesting time off. If the manager happens to be out of the office or unable to acknowledge the request, the email will automatically be forwarded to another decision maker. Once the request is received, the manager can use a calendar view to check whether the request will clash with other department members’ absence. The manager can also verify at this time that the employee is titled to the time off.

 

Then the manager can simply accept/reject the time off request accordingly. If the vacation or medical leave request is approved, every system from HR, to payroll, to benefits, will automatically be updated. Calculation of vacation time is frequently a contentious issue. If it is sloppily managed, employees can frequently take more paid vacation time than they are entitled to, because no one can prove they haven’t taken it. Online leave request ensures that leave is taken and that leave requests are accounted for.

 

And take for example a terminated employee.  You would typically pay a salary for leftover vacation. If proof of what has been taken is clearly available, it can make the whole termination process run much more smoothly.

 

If absenteeism is becoming a problem, automating the reporting, management and logging of sick days is a good way to track and control whether there is an issue. A good attendance management system should be largely self-managing. Once you have defined your unique business rules, the HR department should have to expend little or no effort in ensuring that it is running smoothly. Having a single, electronic access point, directly integrated to the payroll system offers a very easy solution to these issues.

 

This four part series covered four of some of the most important justifying factors to make your case for purchasing an HRIS. Cost savings and productivity gains occur through the automation of routine day-to-day tasks Compliance, integration to Payroll and benefits carriers, and easy to use interface and powerful reporting capabilities.

 

Want to know how much you can save by automating HR tasks, compliance, integration with HR, and implementation of benefits management tools? Try our savings calculator – a simple and easy to use web application. Just answer a few simple questions, enter your name and email address, and we’ll tell you how much your company can save annually by automating this task.

 

You can also read some of these case studies to hear how our customers have improved work flow, saved time and money, reduced labor costs within HR and Payroll departments, and increased employee satisfaction.

 

We’re happy to answer any questions you may have about purchasing an HRIS, or about any products within our integrated human capital management suite. It’s easy. Just fill out this this form or call Ascentis at 800.229.2713.

Do Payroll compliance and health care law changes make your eyes twitch?

Are you responsible for payroll tax and compliance for your company? Does it stress you out? If you answered yes, that’s not particularly surprising. With the speed at which Payroll tax and employment laws change, and with the complexity of issues at hand, it is mission critical that you are able to initiate polices and procedures that can help positively affect the liability and culpability of your company, should a labor related dispute occur.

Here are some recent changes that can affect your company:

• On July 1, 2011 the effective FUTA tax rate changed from 0.80% to 0.60%. Currently there is some speculation that the legislature will reinstate the 0.80% before year end.

The Affordable Care Act requires employers to report the cost of coverage under an employer-sponsored group health plan. However, to give employers more time to implement the change, the IRS has made the requirement voluntary for all employers in 2011.

Watch this video from Healthcare.gov about updates to The Affordable Care Act:

Because our payroll solution is SaaS-based, we keep our clients current and compliant by updating the system “behind the scenes” … giving them one less thing to worry about. Ascentis employs a dedicated compliance and tax team along with outside research services. This unique combination of internal and external resources ensures that Ascentis Payroll is in compliance with federal, state, and local tax and regulatory issues at all times.

Find out more about Ascentis Payroll and Ascentis tax services. Call us at 1.800.229.2713 or contact us.

Interested in hearing about how one our clients feels about Ascentis Payroll? Watch the video below.

Top 10 Reasons why HR and employees HATE open enrollment

We’ve compiled this of reasons (in  movie format) that we’ve actually been told why HR & Payroll departments and the employees that they serve absolutely HATE open enrollment. This list is neither complete, nor in any particular order, and please feel free to comment below to add to it.

In the spirit of total transparency: We get it. We know how much HR, Payroll and employees hate open enrollment. They hate manual open enrollment and they hate web based open enrollments that don’t make sense to the employee and aren’t simple to set up for HR, and don’t interface well with Payroll. This is why we developed our self service differently, and why we offer carrier connect. Want to know how we can help you love open enrollment? Schedule a demo today.

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