--- title: Navigating ACA Compliance description: Learn about the challenges businesses face complying with the Affordable Care Act and how expert assistance can help with the complexities of compliance. image: https://www.megapayusa.com/hubfs/Canva%20images/obamacare.png --- [![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-1.svg) ![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-white.svg)](https://www.megapayusa.com/) [How We’re Different](https://www.megapayusa.com/how-we-are-different) Payroll + More ## Feature-rich software. Stress-free services. A full suite of payroll, timekeeping, and Human Resources tools and services helps your business run – and grow. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu.png) [Meet the platform.](https://www.megapayusa.com/platform) Harness the power of our cloud-based, fully integrated platform, customized to 10+ industries ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-3.svg) [Payroll](https://www.megapayusa.com/payroll) [Pay Options](https://www.megapayusa.com/payroll#payroll-pay-options) [Reporting](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Tracking](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Financing](https://www.megapayusa.com/payroll#payroll-financing) [Compliance](https://www.megapayusa.com/payroll#payroll-compliance) [Deductions](https://www.megapayusa.com/payroll#payroll-additional-services) [Workers Comp](https://www.megapayusa.com/payroll#payroll-additional-services) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-2.svg) [Timekeeping](https://www.megapayusa.com/timekeeping) [Scheduling](https://www.megapayusa.com/timekeeping#timekeeping-scheduling) [Tracking](https://www.megapayusa.com/timekeeping#timekeeping-tracking) [Compliance](https://www.megapayusa.com/timekeeping#timekeeping-compliance) [Devices](https://www.megapayusa.com/timekeeping#timekeeping-devices) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-1.svg) [Human Resources](https://www.megapayusa.com/hr) [Onboarding](https://www.megapayusa.com/hr#hr-onboarding) [Compliance](https://www.megapayusa.com/hr#hr-compliance) [Benefits](https://www.megapayusa.com/hr#hr-benefits) [Pricing](https://www.megapayusa.com/pricing) [Become a Partner](https://www.megapayusa.com/partners) Resources ## Resources for growing companies. A suite of videos, tools, and templates for you and your people. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-2.svg) [Video Library](https://www.megapayusa.com/videos) Learn the ins and outs of the Megapay platform - and get it all done even faster. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-3.svg) [HR Tools](https://megapayusa.portal.zywave.com/) HR videos, customizable handbook templates, onboarding & offboarding forms, and more. [Human Resources NEW](https://www.megapayusa.com/human-resources) [News](https://www.megapayusa.com/the-mega-pulse) Client Login ## Select an account to log in. Payroll [Payroll (new)](https://megapayusa.evolutionpayroll.com/hcm/#/) [Payroll (old)](https://secure.netlinksolution.com/nextgen/?firm=404480) [Payroll + HR](https://megapayusa.evolutionadvancedhr.com/Secure/Home.aspx) [For Employees](https://megapayusa.evolutionpayroll.com/ess#/login) Swipeclock [For Employers](https://megapayusa.payrollservers.us/pg/login.aspx) [For Employees](https://clock.payrollservers.us/#/clock/web/login) HR Support [HR Live Support](https://www.megapayusa.com/human-resources) [HR 360](https://www.megapayusa.com/hr) [Contact Sales](https://www.megapayusa.com/contact) [Home](https://www.megapayusa.com/) [How We’re Different](https://www.megapayusa.com/how-we-are-different) Payroll + More ## Feature-rich software. Stress-free services. A full suite of payroll, timekeeping, and Human Resources tools and services helps your business run – and grow. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-1.svg) [Payroll](https://www.megapayusa.com/payroll) [Pay Options](https://www.megapayusa.com/payroll#payroll-pay-options) [Reporting](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Tracking](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Financing](https://www.megapayusa.com/payroll#payroll-financing) [Compliance](https://www.megapayusa.com/payroll#payroll-compliance) [Deductions](https://www.megapayusa.com/payroll#payroll-additional-services) [Workers Comp](https://www.megapayusa.com/payroll#payroll-additional-services) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-2.svg) [Timekeeping](https://www.megapayusa.com/timekeeping) [Scheduling](https://www.megapayusa.com/timekeeping#timekeeping-scheduling) [Tracking](https://www.megapayusa.com/timekeeping#timekeeping-tracking) [Compliance](https://www.megapayusa.com/timekeeping#timekeeping-compliance) [Devices](https://www.megapayusa.com/timekeeping#timekeeping-devices) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-3.svg) [Human Resources](https://www.megapayusa.com/hr) [Onboarding](https://www.megapayusa.com/hr#hr-onboarding) [Compliance](https://www.megapayusa.com/hr#hr-compliance) [Benefits](https://www.megapayusa.com/hr#hr-benefits) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu.png) [Meet the platform.](https://www.megapayusa.com/platform) Harness the power of our cloud-based, fully integrated platform, customized to 10+ industries [Pricing](https://www.megapayusa.com/pricing) [Become a Partner](https://www.megapayusa.com/partners) Resources ## Resources for growing companies. A suite of videos, tools, and templates for you and your people. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-2.svg) [Video Library](https://www.megapayusa.com/videos) Learn the ins and outs of the Megapay platform - and get it all done even faster. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-3.svg) [HR Tools](https://megapayusa.portal.zywave.com/) HR videos, customizable handbook templates, onboarding & offboarding forms, and more. [Human Resources NEW](https://www.megapayusa.com/human-resources) [news](https://www.megapayusa.com/the-mega-pulse) client login ## Select an account to log in. Payroll [Payroll (new)](https://megapayusa.evolutionpayroll.com/hcm/#/) [Payroll (old)](https://secure.netlinksolution.com/nextgen/?firm=404480) [Payroll + HR](https://megapayusa.evolutionadvancedhr.com/Secure/Home.aspx) [For Employees](https://megapayusa.evolutionpayroll.com/ess#/login) Swipeclock [For Employers](https://megapayusa.payrollservers.us/pg/login.aspx) [For Employees](https://clock.payrollservers.us/#/clock/web/login) HR Support [HR Live Support](https://www.megapayusa.com/human-resources) [HR 360](https://www.megapayusa.com/hr) [contact sales](https://www.megapayusa.com/contact) [![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-footer.svg)](https://www.megapayusa.com/) Payroll, personally™ Megapay is an all-in-one customizable payroll, timekeeping and HR software that offers built-in support from dedicated personal payroll experts. About Megapay [Home](https://www.megapayusa.com/) [How We're Different](https://www.megapayusa.com/how-we-are-different) [For Partners](https://www.megapayusa.com/partners) [Pricing](https://www.megapayusa.com/pricing) [Contact](https://www.megapayusa.com/contact) Explore Platform [Payroll](https://www.megapayusa.com/payroll) [Timekeeping](https://www.megapayusa.com/timekeeping) [Human Resources](https://www.megapayusa.com/hr) [Premium HR Tools](https://www.megapayusa.com/hr360) Resources [HR 360](https://www.megapayusa.com/hr360) Contact us [Call us! 855 634 2729](tel:8556342729) [hello@megapayusa.com](mailto:hello@megapayusa.com) [25 Robert Pitt Dr | Ste #218 Monsey, NY 10952](https://goo.gl/maps/whjTESbpgrTTxLNL6) Follow us Copyright Megapay Inc. All Rights Reserved. [< Return to the blog](https://www.megapayusa.com/blog/all) ![](https://www.megapayusa.com/hubfs/Canva%20images/obamacare.png) [Federal](https://www.megapayusa.com/blog/tag/federal) [HR](https://www.megapayusa.com/blog/tag/hr) # Navigating ACA Compliance The Affordable Care Act (ACA) [labor law](https://www.megapayusa.com/blog/must-know-labor-laws), also referred to as Obamacare, was approved in 2010 with the goal of providing all Americans with access to low-cost health insurance. Commonly referred to as healthcare reform, the ACA requires businesses with 50 or more full-time equivalent employees to offer health insurance that meets minimum standards. Health care benefits covered can be anything from doctor visits and hospital stays to maternity care and prescription drugs. Non-compliance can result in costly penalties; therefore, businesses must understand their obligations and seek expert assistance in navigating requirements. While this law aims to expand coverage, the [Affordable Care Act](https://www.dol.gov/agencies/ebsa/laws-and-regulations/laws/affordable-care-act/for-employers-and-advisers) compliance presents unique challenges for many companies, as discussed below ## **Key Challenges for Businesses** Two major challenges businesses face in complying with the ACA are determining full-time employee status and offering affordable coverage. The law defines a full-time employee as someone who works 30 or more hours (on average) per week. However, calculating hours accurately across different pay periods and employee types can be difficult. Businesses must also provide health plans that meet the ACA's affordability and minimum value standards. This means ensuring plans cover major medical expenses and that employee premium contributions do not exceed 9.5% of household income. If an employee's required premium contribution for self-only coverage surpasses 9.5% of their combined domestic pay, they may be eligible for an exemption from the individual mandate. Therefore, they may be able to purchase insurance through the ACA Marketplace instead of the employer's plan; juggling all these guidelines takes significant time and resources. ## **ACA Filing Form 1095-C** [IRS Form 1095-C](https://www.irs.gov/pub/irs-pdf/f1095c.pdf) contains information about the health insurance offered to employees, such as coverage dates, the lowest monthly premium for self-only coverage provided under the plan, and the employee's share of premium costs. Every year, businesses must complete the form to report on the health coverage offered to full-time employees. This involves gathering details on the months each employee was offered coverage and their share of premium costs, and verifying they were not eligible for subsidies through the health insurance marketplace. The form is then filed with employee statements 1095-C by January 31 and with the IRS by February 28. [Missing deadlines](https://www.irs.gov/e-file-providers/affordable-care-act-information-returns-air#:~:text=The%20electronic%2Dfiling%20threshold%20for,10%20or%20more%20information%20returns.) or submitting inaccurate information can result in penalties of $250 per incorrect form. Proper completion of Form 1095-C is crucial for [ACA compliance](https://www.forbes.com/advisor/business/aca-compliance/). ## **Should You Get Expert Help?** The last thing you want to deal with is the complexities and consequences of ACA non-compliance. Specialized employment and healthcare experts have in-depth knowledge of the intricate regulations and how they apply specifically to different organizations. They can provide customized strategies tailored to your business's unique needs and goals to ensure compliance. Consulting with experts also helps mitigate risks. Professionals offer accurate guidance on compliance, reporting, and documentation requirements to help businesses avoid [hefty penalties](https://www.irs.gov/pub/irs-drop/rp-23-17.pdf). Because they stay up to date with any regulatory changes, experts can help you adapt your practices accordingly. Rather than trying to interpret and implement the ACA rules yourself, employment and healthcare specialists handle compliance so you can focus on core operations. This is where MegaPay, an all-in-one payroll, time management, and human resources platform, comes in. ## **How MegaPay Helps Businesses** [MegaPay](https://www.megapayusa.com/) offers services such as payroll processing, time tracking, and other HR functions. Both employers and employees can access the software to manage HR-related tasks. The platform provides a comprehensive solution for organizations to handle their payroll and human resource management needs efficiently. MegaPay has a team of experts to help navigate these situations. [Contact Us](https://www.megapayusa.com/contact) today! Our assistance can save you time, reduce stress, and help avoid costly fines that stem from unintended ACA non-compliance. Related articles [Browse all articles](https://www.megapayusa.com/blog/all) [Federal](https://www.megapayusa.com/blog/tag/federal) [Payroll & Tax](https://www.megapayusa.com/blog/tag/payroll-tax) [HR](https://www.megapayusa.com/blog/tag/hr) ### Can I Hire an Employee Without a Social Security Number? Simply put, no. A person needs a Social... [Read more](https://www.megapayusa.com/blog/hire-employee-without-social-security-number) [Timekeeping](https://www.megapayusa.com/blog/tag/timekeeping) [State](https://www.megapayusa.com/blog/tag/state) ### New York’s Spread of Hours: What Employers Need to Know When managing a business in New York,... [Read more](https://www.megapayusa.com/blog/spread-of-hours) [Federal](https://www.megapayusa.com/blog/tag/federal) [Payroll & Tax](https://www.megapayusa.com/blog/tag/payroll-tax) [State](https://www.megapayusa.com/blog/tag/state) ### Get Tax Credits for Helping Employees With Childcare We recently recorded a conversation... 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Website content provided is for informational purposes only and is not legal or professional advice. Each situation is unique; please consult a qualified professional for guidance specific to your case. We are here to answer your questions and help you with any of your payroll processing, time-keeping, and HR compliance needs. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-1.svg)Payroll ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-2.svg)HR ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-3.svg)Timekeeping ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-4.svg)Benefits ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-5.svg)Onboarding Download our Chrome Extension! Make your Megapay online experience more simple and seamless than ever with our free Chrome extension. 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