W-2 Reporting Requirement for Employers Update
The Patient Protection and Affordable Care Act (PPACA) contains a requirement for employers to report the cost of health coverage under an employer sponsored group health plan on an employees' W-2 form. The cost includes both the cost paid by the employer and contributions from the employee.
When should costs be reported?
Employers will be required to report the cost of health insurance coverage starting January 2013 on W-2 forms filed for the 2012 tax year. However, employers who filed fewer than 250 W-2s for the 2011 tax year will be exempt until the IRS issues further guidance.
For more information, view our updated Frequently Asked Questions (FAQ) (PDF)
Need more information, please visit the Health Care reform section of our website for the latest updates and new information.