Reminder: Large employers must report health care value on Form W-2

Reminder: Large employers must report health care value on Form W-2

Bulletin Type: 
Health Care Reform

Only employers who issued more than 250 Form W-2's in 2014 need to comply

The aggregate cost of employer-sponsored health insurance must be reported on 2015 Form W-2s for employers who issued more than 250 Form W-2s in 2014. The reporting requirement is a provision established by the Affordable Care Act. Small employers (those who issued fewer than 250 Form W-2s in 2014) are temporarily exempt from the requirement until the IRS revokes the interim relief.

In general, the amount reported should include both the premium cost paid by the employer and employee. The value is reported in Box 12 (Code DD) on the forms. The forms must be distributed to recipients no later than February 1, 2016. An IRS chart summarizes the coverages affected.

For more information, please contact your Bukaty Companies Benefits Consultant at 913.345.0440. As always, we appreciate your business.