Human Resources Update

Transcription

1 Human Resources Update 1. Affordable Care Act Update 2. Payroll Administration update 3. Wellness Program Kickoff payroll fiscal year 5. City of Chicago Minimum Wage 6. FY Assumptions

2 ACA Reporting The Archdiocese is required to issue documentation to employees and to the IRS on health insurance eligibility and coverage from calendar year Reporting is completed on forms: 1095-B - Coverage information for HMO participants Sent by BCBS January B summary of 1095-B s, sent to the IRS by BCBS 1095-C Eligibility information for all benefits eligible staff, and Coverage information for PPO participants. Sent by BAS by March C summary of s, sent to the IRS by BAS Payroll Data has been loaded in BAS from IOI Payroll

3 Employee Responsibility ACA requires all individuals: to have health care coverage, qualify for a health coverage exemption, or, to make an individual shared responsibility payment when filing their federal tax return. Individuals do not submit a copy of Form 1095-B/C with their tax returns. If employees had coverage for all of 2015, they simply check a box on their tax return to report that coverage. If the employee/dependents did not have coverage all 12 months, a separate form is required to be completed by the employee and filed with the tax return.

4 Employee Responsibility The Archdiocesan plan meets the minimum essential coverage requirements and is considered qualifying coverage. The IRS has recognized that some individuals may be affected by the timing of the distribution of the ACA Forms 1095-B/C and may not be able to confirm if they had minimum essential coverage. The IRS has advised that employees may use other information they have about their health coverage to answer the coverage question on their income tax return. Individuals will not have to re-file or amend their returns after they receive Form 1095-B/C. They simply need to keep the Form 1095-B/C with their personal records.

5 Review of Payroll Items Payroll Data drives Healthcare reporting, AND: Parish Profile and Compliance Financial analysis and planning Benefits administration Benefits planning decisions All paid staff must be on IOI Payroll

6 Review of Payroll Items Please review these fields and ensure accuracy Job Title FPS Full/Part time, or Seasonal Scheduled Hours Number of pays per year Hourly/Salaried NOTE: Benefit status is calculated based on FPS (ignores S ) Scheduled hours Number of pays

7 Review of Payroll Items Benefit Eligible staff For ACA purposes, hours are not required to be recorded per payroll. Based on position classification, hours may need to be tracked for compliance with Wage/Hour laws. Non-Benefits Eligible Staff Hours must be entered for all staff working in a nonbenefits eligible status. These include: Regularly scheduled less than 26 hours part-time benefits ineligible Seasonal or occasional staff

8 Payroll and Benefits Reminders Review the NEW EMPLOYEE REQUIRED DOCUMENTATION link and provide each new employee with the information/forms listed. All staff must receive the Health Insurance Marketplace Coverage Notice. All Benefits eligible staff must log in to MyEnroll and select or waive benefits. All staff must complete OPCY Compliance requirements and must sign the Employee Handbook Acknowledgement. Review your payroll demographic data periodically to ensure accuracy. Report is available on IOI Reports screen. Scheduled Hours, Terminations, dates of Birth/Hire, etc.

9 Wellness Program Health Screenings are scheduled for January and February Staff enrolled in a health plan are eligible Program will integrate existing programs for participants under our plan with BCBS Employees with an on BAS/MyEnroll received information via ; additional information is on the HR Website (hr.archchicago.org Walking program is coming soon.

10 Managing 27 Payroll Periods No impact on Hourly staff as they are paid for hours worked. Non-Contractual Salaried staff are paid for the respective two-week pay period. The annualized salary should be divided by 26. Contractual staff are paid for a specific time frame per the contract. The per paycheck amount will depend on the number of paychecks issued during the contract year. Local practice and timeframes must be reviewed.

11 Managing 27 Payroll Periods Language to be added to Teacher/Principal Contracts clarifying first pay date of the new school year, the last pay date, and the number of pays. Example: The salary will be paid over 27 paychecks, on a biweekly basis. The first paydate will be July 1, 2016 and the last pay date will be June 30, 2017.

12 City of Chicago Minimum Wage The City of Chicago has a minimum wage rate above the statewide minimum wage. The initial minimum was $10.00 per hour effective July 1, 2015, and increases in steps annually through 2019, as follows: July 1, 2016 $10.50 per hour July 1, 2017 $11.00 per hour July 1, 2018 $12.00 per hour July 1, 2019 $13.00 per hour July 1, 2020 and thereafter, increases will be based on the CPI (Consumer Price Index), up to a maximum increase of 2.5%. FLSA Regulations being updated Minimum rate of Pay to be classified as salaried is increasing to $50,440 More information and guidance to follow.

13 Budget Assumptions Projected Health Insurance cost increase is 5% Expected Blended rate Increase from $800 to $840 monthly Increase from $9,600 to $10,080 annually Salary increase budget is 3% Unemployment maximum cost Depends on family situation 26 week total ranges from $11,400 to $15,500 Fringe Benefit Assessment is increasing from 8.0% to 8.25%