1095/1094 Upcoming Employer Reporting.

What is it?

It’s a requirement of the ACA (Affordable Care Act). Starting in January 2016, certain companies offering health insurance coverage during 2015 are required to provide this statement to their employees and file the reports with the IRS.

Who is effected?  Who must comply?

Small employers with fewer than 50 employees offering a self-insured health plan. (IRS Section 6055)  Also, employers with 50+ full time employees (FTEs) offering any kind of group health insurance plan must also file a more complex report. (IRS Section 6056)


It’s on a similar schedule as issuing a W-2 to each employee. This filing is due by January 31, 2016. Therefore, this 4th quarter of 2015 is the time to get prepared. There are several options…

***Please note: This whole process is new and sounds worse than it really is. For example, your current health insurance carrier (i.e. All Savers, Cigna, Humana, etc.) will send you an Employee Enrollment Summary at the end of 2015. This report will list most of the information needed to populate the 1095-B form for each enrolled employee.

What are your options to take action? 

  • Do nothing and bury your head in the sand. (Not recommended. IRS fines of $250/$500 per employee)
  • Self-Service. You can fill in the employer information section of the 1095-B form and have each employee fill out their own 1095 form similar to a W-4, I-9, etc. Then you fill out the employer 1094-B transmittal & submit to the IRS by the end of February or March, depending on if filing electronically.
  • Interview your current payroll service or CPA as they may have a suggestion to populate these forms and can possibly help you electronically file with the IRS.
  • Outsource to a full-service solution capable of handling the 1095 reporting requirements. Such as Mosaic Employer Solutions, EaseCentral, BASIC, TASC, Payroll Vault or Benefit Comply.

Here’s the bottom line to ask yourself:

How are we going to populate & file the required 1094/1095 forms this January?

Remember, we’re here to help too.


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