For more information on employers' reporting responsibilities in regard to the Patient Protection and Affordable Care Act (PPACA), visit SageCanHelp.com.

Section 1: Setting up a company paid benefit

1. Select Maintain, Payroll, Benefits - Company Settings.
2. Select Add Another Benefit.
3. Select Insurance Plan, then click OK.
4. Select the type of insurance plan you are adding (Medical, Dental, Vision, etc.).
5. Select Company only for Who pays for this plan?
6. Enter a name for the benefit if necessary.
7. Click Next.
8. Select the appropriate option for the question Are the company expenses for this plan tracked per paycheck?
   • No (This is most common)
   • Yes - entries are for reporting only: Select this option if you wish to report the amount only on the employees' W-2
   • Yes - entries affect the general ledger, financial statements, and reporting: Select this option if you want the liability and expenses recorded on each paycheck
9. Enter the amount that the company will contribute, then Click Next.
   Note: This field will not be visible if you selected No in step 8.
10. Select the appropriate Tax Settings - Company Contribution for the benefit, and then click Next.
11. Click Next again.
12. If you selected Yes - entries affect the general ledger, financial statements, and reporting; enter the appropriate GL Account Number next to the benefit name.
13. Click Finish.

Section 2: Apply benefit to only affected employees

Note: Follow these steps only if you selected either of the Yes options in step 8 but the benefit does not apply to all employees. Follow Section 4 if you selected the No option.

1. Select Maintain, Employee/Sales Reps.
2. Select an employee that does not receive the benefit.
3. Select the Company Fields tab.
4. Uncheck Use Defaults next to the benefit name, then uncheck the Calculated box.
5. Click Save.
6. Repeat steps 2-5 for each employee that does not receive the benefit.

Note: To specify different benefit amounts of employer contributions for individual employees, see Change the benefit amount for the employer section in How to set up an employee and company paid insurance benefit?

Section 3: Reporting the cost of coverage on the employees' W-2 forms

1. Select Maintain, Payroll, Payroll Settings.
2. Select Taxes on the left side.
3. Select Assign Tax Fields.
4. Select W-2 Fields.
5. In W-2 Box 12, select one of the empty boxes. Select the name of the health plan from the drop-down list.
6. Enter DD in the Use Code column and click OK and then Finish.
   Note: If the company expenses were tracked on the paychecks from the beginning of the year, stop here.
7. Apply reported amount to W-2 box 12.
8. • Option 1: In the Verify Employee Information window of the W-2 Wizard, enter the reported amount in box 12, then with the W-2 Wizard as normal
   • Option 2: Enter the reported amount in the company tracked field on a paycheck at the end of the year

Section 4: Assign amount if all paychecks for the year have already been issued

1. Select Tasks, Payroll Entry.
2. Select the employee.
3. Zero out all fields.
4. Enter the amount for the benefit as a positive number in the Amount field.
5. Enter a check number (if you do not want to go out of sequence enter Correct[check number] For example: Correct101).
6. Change the date of the check to December 31st.
7. Click Save.

How to create calculated payroll deductions