TheRipple Effect

of Affordable Care Act Compliance

What are the Top Issues facing payroll and HR professionals?

Good question!Ceridian partnered with The Hackett Group to find the answer.

The Hackett Group conducted a survey to investigate...

top trendspractices challenges in today’s

payroll and tax environment.

Let’s look at who was surveyed…

We received input from organizations of various sizes...

< $5 billion $5 — $50

billion > $50 billion

44% 37% 19%

Respondents’ annual revenue:

And from multiple industries…

Manufacturing

Retail

Health Care PublicAdministration

ProfessionalServices

Now let’s look at the results!

68% of respondents indicated

The Affordable Care Act

is the most challenging compliance issue facing senior payroll

professionals.

When it comes to compliance with the ACA, HR & payroll professionals worry about

Affordability

Eligibility Reporting

It’s clear that the ACA has made

Compliance a top issue for payroll as well as HR.

But…

70% of respondents indicated their payroll leaders have limited involvement or are not involved at all in the ACA compliance decision making process!

Unfortunately, many payroll systems are not equipped

to handle this challenge.

Only 2 out of 5 respondents reported their time and attendance technology is integrated with payroll. This is worrisome since this functionality is crucial for ACA compliance.

But wait,there’s more…

69% responded that their current system could not send immediate and electronic notifications to accommodate part-time employees who work more than 30 hours a week.

To reduce the risk of ACA noncompliance, scheduling systems will need to integrate with the time reporting system.

However, survey participants indicated that the scheduling & timekeeping systems are integrated only

62%of the time.

ACA compliance is dependent on the

Joint Efforts of payroll, benefits and HR.

Let’s look at some best practices.

Best practice #1:Be sTRATeGIC about your ACA compliance efforts and include payroll and HR in compliance preparation.

Best practice #2:sTANdARdIze processes and procedures to eliminate complexity.

Best practice #3:LeveRAGe TeCHNOLOGy to automate and streamline processes.

HR, payroll and tax regulations are here to stay.

And ACA compliance will only grow in complexity.

Thankfully, Ceridian is here to help.

Visit the Ceridian Compliance Center at www.ceridian.com/ComplianceCenter for ACA compliance tools and resources.

www.ceridian.com/compliancecenter