|
|||
 |
|||
|
Sage Abra Suite Frequently Asked Questions
Q: What is PPACA? A: The Patient Protection and Affordable Care Act (PPACA) in conjunction with the amendments made to the Healthcare and Reconciliation Act of 2010 (together, the Healthcare Act), have significant employment tax and information reporting implications. The requirements of the Healthcare Act are being phased in over a period of eight years, with limited provisions, such as the change in qualified dependents for medical care expenses, effective in 2010. Under the PPACA legislation, with respect to reporting the cost of coverage under an employer-sponsored group health plan on Form W-2 this requirement is optional for all employers in 2011. IRS Notice 2011-28 provided further relief for smaller employers filing fewer than 250 W-2 forms (in the prior year) by making the reporting requirement optional for them at least for 2012 and continuing this optional treatment for smaller employers until further guidance is issued. Q: I have less than 150 employees. Am I required to report the employer provided health care cost? A: IRS Notice 2011-28 provides relief for smaller employers filing fewer than 250 W-2 forms (in the prior year) by making the reporting requirement optional for 2012 and continuing this optional treatment for smaller employers until further guidance is issued. Q: How can I tell if Sage Abra Suite has the correct amount to populate the employer contributions for my Health Care deductions? A: Navigate from the Navigation Pane to View/Edit Employee > Payroll > Payroll History. If the employer portion is set up as a deduction select the Display Type of deduction, identify the deduction code and verify the YTD Match field is correct. Also verify the employee YTD Amount is correct for the year. If the employer contribution is set up as an earning select display type of Earning, locate the earning code and verify the YTD Amount is correct. Q: Does changing the Deduction Type to Section 125 Code DD populate the employer YTD amount in Sage Abra Suite? A: Verify amounts were recorded in Sage Abra Suite If the employer match was not calculated and recorded in Sage Abra Suite, it will not be recorded on the W2 Box 12 code DD. To verify the employee and employer YTD amounts, from the Navigation Pane go to Employees > View Edit Employee > Payroll > Payroll History, and click on display type of deductions. If trial quarter close for the fourth quarter has not been started then no additional action is required if the employee and employer amounts are correct. If a trial quarter close has been run for the fourth quarter and then the deduction type was changed, re-run trial quarter close and look at the Pre-close W-2. If final quarter close for the fourth quarter and then the deduction type was changed it will not affect a closed year. You will need to restore prior to final quarter close, make the change and re-run trial quarter close or if a restore is not an option, manually edit the W-2's. Q: When did Sage Abra Suite implement functionality for Patient Protection and Affordable Care Act? A: PPACA functionality was started in the Q4 2011 product update and will be finalized in the Q4 2012 product update. Q: If I edit the Form W-2 Code DD in Edit Quarter/Year End forms, do I also have to edit Form W-3 in Sage Abra Suite? A: The W-3 does not contain any Box 12 information, so no edit is required to this form. Q: Who can I contact to make sure my setup is correct for PPACA (Patient Protection and Affordable Care Act)? A: All you need is active support! Avoid the year end rush and call Customer Support at 1-800-829-0170 Monday – Friday from 8:00 am – 8:00 pm EST. A support representative will be glad to do a live connect to review your setup and answer any questions you may have. |
||
|
|||
