Understanding Health Care Reform: Plan Sponsors
When something needs to be done, it’s important to know who exactly should be doing it. The same applies to Affordable Care Act reporting.
A plan sponsor for self-insured group health plan coverage is responsible for reporting to the IRS, but it’s not always clear to everyone who acts as a plan sponsor. Read on to learn more about who’s in charge when it comes to an organization’s plan.
What Exactly is a Plan Sponsor?
A Plan Sponsor is a designated party that sets up an organization’s healthcare plan for its employees. That party manages the details of an organization’s plan.
Who is the Plan Sponsor?
The group that acts as a plan sponsor all depends on who maintains it.
• If the plan is maintained by a single employer – The employer is the Plan Sponsor
• Maintained by more than one employer (but not a multiemployer plan under ERISA) – Each participating employer acts as the Plan Sponsor
• A multiemployer plan as defined by ERISA – The board of trustees, or another similar group of representatives is the Plan Sponsor
• Maintained solely by an employee organization – The employee organization is the Plan Sponsor
If the plan is sponsored by some other entity, then the Plan Sponsor is the person designated by the terms of the plan.
Getting Help for ACA Compliance
If ACA compliance sounds like a complicated process, that’s largely because it is. You don’t need to go through the reporting process alone, however. Apple Growth Partners’ my aca partner can help you get your information in order to stay compliant.
If you would like to learn more about how my aca partner can manage your reporting, please contact Vicki Trettel at 330.867.7350 to schedule an appointment with one of our experts.