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ACA compliance is a challenging task for many employers, and one of the most daunting aspects is ensuring the accuracy of reporting. Incorrect reporting of employee health coverage, eligibility status, and hours worked can lead to costly fines and penalties from the IRS. Fortunately, tools like Full-Service ACA Tracking and Reporting make it easier for businesses to manage these complex tasks efficiently. ACA-Track is designed to minimize the risk of errors, offering an effective and accurate system for tracking and reporting ACA data. In this article, we will explore how ACA-Track helps prevent and correct ACA reporting errors, ensuring your business remains compliant with all IRS requirements.

The Risk of ACA Reporting Errors

Reporting errors related to the ACA can be costly and time-consuming to resolve. Employers are required to submit forms such as 1094-C and 1095-C to the IRS, providing detailed information about the health coverage they offered to employees. These forms must be accurate, with the correct codes and data to reflect the coverage offered, the employee’s status, and other relevant details.

Small mistakes, such as missing information or incorrectly entered data, can result in penalties and IRS audits. The IRS may impose fines for failures to file or for incorrect filings, which can add up quickly—especially for large employers with hundreds or thousands of employees. The process of correcting these errors can also be time-consuming, requiring additional filings, re-submissions, and sometimes legal assistance.

How ACA-Track Prevents Reporting Errors

ACA-Track offers several features that help businesses avoid common reporting errors. By automating data collection, integrating with existing HRIS and payroll systems, and providing real-time error detection, ACA-Track ensures that all data is accurate and compliant before submission to the IRS.

Real-Time Data Validation: ACA-Track performs continuous checks on data as it’s entered or imported, flagging potential errors immediately. If there are discrepancies in employee hours worked, eligibility status, or coverage offerings, ACA-Track highlights the issue, allowing users to correct it before submission.

Automated Data Entry: ACA-Track integrates seamlessly with payroll and HRIS systems, automating the collection and entry of employee data. This reduces manual entry errors and ensures consistent, accurate information across systems.

Customized Error Alerts: The platform allows users to set up alerts for specific data issues or threshold breaches—such as when an employee’s hours exceed the eligibility requirement for health coverage. This ensures employers are notified quickly and can take action immediately.

Pre-Submission Review: Before generating ACA forms for submission, ACA-Track provides a review that flags missing or incomplete information. This step helps businesses correct issues early and avoid costly mistakes.

How ACA-Track Helps Correct Reporting Errors

Even with the best preventive measures, errors can still occur. The good news is that ACA-Track provides built-in tools to correct them quickly and efficiently.

Error Detection and Reporting: The system generates detailed reports identifying discrepancies by type (e.g., missing hours, incorrect coverage codes, etc.), helping businesses pinpoint and fix issues fast.

IRS Error Correction Support: If the IRS identifies mistakes, ACA-Track offers guidance with step-by-step instructions to correct and resubmit forms properly.

Seamless Resubmission: Once corrections are made, ACA-Track automatically generates updated versions of Forms 1094-C and 1095-C for easy resubmission to the IRS.

Audit Assistance: ACA-Track provides audit support, helping businesses gather required documentation quickly. The system securely stores all ACA-related data, making it simple to retrieve during an audit.

The Importance of Data Integrity

One of the most important factors in ACA reporting is maintaining data integrity. Inaccurate or incomplete data leads to flawed reports and compliance issues. ACA-Track ensures integrity through regular validation checks that catch discrepancies early.

This is particularly critical for businesses with variable-hour, seasonal, or fluctuating employees. ACA-Track tracks each employee’s status in real-time and maintains a full audit trail, providing transparency and accuracy throughout the process.

Comprehensive Reporting for IRS Submission

Beyond error prevention and correction, ACA-Track streamlines the entire reporting workflow. It automatically generates Forms 1094-C and 1095-C with accurate codes and affordability data, ensuring full IRS compliance. With ACA-Track’s robust reporting tools, employers can trust that their submissions are correct and penalty-free.

Dedicated Support for ACA Reporting and Error Resolution

One of ACA-Track’s greatest strengths is its exceptional customer support. Every client is assigned a dedicated account manager who provides assistance with data validation, error correction, and IRS submissions. Whether it’s fixing a reporting mistake or navigating an audit, ACA-Track’s experts guide users every step of the way.

Conclusion: Prevent and Correct ACA Reporting Errors with ACA-Track

ACA compliance can be complex, but ACA-Track simplifies it through automation, real-time error detection, and strong correction tools. Businesses can prevent errors before they occur and correct any discrepancies quickly and efficiently.

By using Full-Service ACA Tracking and Reporting, companies can streamline their reporting, stay compliant with IRS regulations, and ensure employees receive accurate healthcare coverage. ACA-Track gives businesses peace of mind and protection from costly ACA-related penalties.