We just introduced a new update to Pro Fund Accounting which will help you to generate the new healthcare reports for the IRS and for each employee. According to the IRS documentation about the Affordable Care Act reporting, you don’t need to worry about creating these reports unless you are self-insured or have over 50 full time employees. If neither one of those conditions apply, then the healthcare provider will file a 1095-B form for each of your employees who have health insurance.
Also note that this program will ONLY run on Windows Vista and higher, it will NOT run on Windows XP. You may also need to install .Net Framework 4.6 in order to run this program.
Once you start the program for the first time, the first thing you will want to do is to add your health care plans that you offer your employees.
Let’s get started with adding a new healthcare plan now:
1. You would click on the Manage Healthcare Plans button on the toolbar
2. Then the Manage Healthcare Plans window will appear. The very first time you open this window, since you don’t have any plans setup yet, the window will be in “add mode” so you can start adding your first plan.
3. Fill in the appropriate fields for the first healthcare plan:
a. Plan Name: This is will be used to describe the healthcare plan on each employee that has it. Example: BCBS Plan A
b. Provider Name: This is the name of the healthcare provider. Example: Blue Cross Blue Shield
c. Start Month: The month of the year which the plan started.
d. Employee Monthly Share: The amount of money that employees are required to contribute for this plan each month.
e. IRS Offer Code: The IRS Offer Code that will be used for this plan. A description of each code can be found in the drop down box.
f. Self Insured: ONLY check this box if you are self-insured for healthcare.
4. Once the appropriate data is filled in, then you can either click on the New button to add another healthcare plan or you can click on Done to save any changes and close the window.
Now that you have at least one healthcare plan added, we can add healthcare information to each employee. Note that the employee list will only show those employees who are currently active and who do not have their type set to “Z”.
Let’s get started with adding healthcare information to an employee:
1. Choose an employee from the Employee List
2. Then you can choose the healthcare plan that this employee is signed up for. Choosing a healthcare plan will allow you to easily apply the defaults for the plan to each month.
3. To apply the defaults for the healthcare plan to this employee, click on the Use Plan Defaults button. This will copy the default information from the healthcare plan to the employee for each month of the year. You can also use this button to reset any healthcare information for the employee back to the healthcare plan defaults.
4. If you need to make any changes to the healthcare plan defaults for a particular month, then you can make those changes.
5. The Applicable Safe Harbor Code fields will need to be filled in for each employee as they could be employee specific. If the same code is used for all 12 months of the year, then you can add the code under the All 12 Months section and it will copy over the code to all 12 months. Note that the data in the All 12 Months sections does NOT save, it will always remain blank when switching between employees or closing the program.
6. If you are self-insured, then you MUST complete the Covered Individuals section. If you are not self-insured, then you are NOT required to complete the Covered Individuals section.
The Covered Individuals section allows you to add information for dependents for the selected employee. The following section outlines how to add a dependent to an employee through the healthcare reporting program:
a. Start by clicking on Add button
b. A blank line will appear in the grid below
c. Enter the Covered Individual Name in the following format: first name then a space and then the last name
d. Enter the SSN
e. Enter the Date of Birth
f. If the dependent was covered during the entire year, then you can check the All 12 Months box to apply coverage for each month. Otherwise only check the boxes for the months in which the dependent was covered.
7. To save the employee and all changes that were made to them, click on the Save Changes button located in the toolbar. You do not have to click Save Changes before switching to a different employee, but DO MAKE SURE you click on Save Changes before exiting the program or before generating any reports. If you do not, then the generated reports may not be accurate or any changes that were made to employees could be lost.
Now that we have added healthcare plans, and added healthcare information for your employees; it is time to run the new healthcare reports for the IRS and your employees.
The 3 reports that this program will create are the 1095-C, 1094-C, and the 1095-B reports. Most likely the 1095-B report will not be used unless you are self-insured and have less than 50 full time employees. If you have 50 or more full time employees, then you will need to generate the 1095-C report and send it to both your employee’s and the IRS. The 1094-C report is the transmittal report that you send to ONLY the IRS along with a copy of each 1095-C.
To generate these reports:
1. Click on the Print Reports button on the toolbar
2. Then choose which year to calculate the reports for on the Print Report Settings window and also choose the report type that you want to view
3. Then click on the View Report button to launch the report. Note that it may take a few seconds for the report to launch. After the report is launched in the report viewer, please take a moment to look at the Parameters tab of the report viewer to see if there are any report parameters that need to be filled out or changed. You will most likely need to change some of the parameters of the 1094-C report to fit your entity’s needs.
If you do not choose a report to launch, then there will be an error message that pops up similar to the one shown below.
If you see this message when clicking on the View Report button, click OK and then make sure a report type is selected.
If you have any questions about running this program, then please contact Pro Fund Accounting support at 866-634-9991 x2.