Based Health Insurance
Calculating Company Paid Health Insurance & The Affordable Care Act
One of the requirements of the Affordable Care Act that will effect all business owners who provide employee health insurance, is that you now must report employer provided health coverage on Form W-2. Many companies who use QuickBooks usually pay the health insurance premium bill on a monthly basis in one lump sum, which is made up of a specific amount for each employee based on the type of plan or coverage that each employee has. Often times the health insurance payment is treated just like any other bill that the company receives and when handled in this manner, the amounts paid for each employee will not flow through to the W-2 automatically and these amounts will have to be entered manually when W-2's are prepared. QuickBooks can be set up to automatically track this information for you, but the problem is how to do the calculations. To help you to get yourself organized, we've developed a free spreadsheet to help you calculate insurance costs, whether they are by pay period or an hourly value. Price: Free Continue reading