With the Affordable Care Act firmly in place, businesses have had to adapt to new reporting requirements and tons of new paperwork. While adapting to new regulations is a challenge, ACA requirements are only some of the issues that can affect your company. Here are some of the trends to be aware of this year.
Affordable Care Act
2016 ushers in mandatory reporting for all qualifying employers under the Affordable Care Act. Although the IRS did grant an extension for filing the forms this year, the penalties for non-compliance still go into effect. If you employee 50 or more full time equivalent employees you must meet the reporting requirements or face penalties.
Some time this year the Department of Labor (DOL) is expected to issue its final ruling on white-collar exemptions from overtime compensation. Up to 11 million employees could be affected by the expected changes and will need to be reclassified from exempt to nonexempt. Ensuring that you are in compliance with the new regulations is expected to be a significant burden going into next year.
Minimum Wage Increases
January saw minimum wage increases in Alaska, Arkansas, California, Colorado, Connecticut, Hawaii, Massachusetts, Michigan, Nebraska, New York, Rhode Island, South Dakota, Vermont, and West Virginia and this year will see increases in D.C., Maryland, and Minnesota. The issue is not expected to fade and the current political climate may bring it into sharper focus later this year.
Paid Sick Leave
Several states are implementing paid sick leave requirements this year, and the topic shows no signs of fading. Compliance with tracking and reporting is expected to become more critical as the issue gains prominence.
All of these trends have the potential to cause reporting and compliance headaches for business. If you are concerned about their impact on your company, you may want to consider outsourcing some functions. Payce by Deluxe is happy to help you with any needs.