Question of the Week: Who needs to comply with ACA reporting?

Mar 27, 2026

Question of the Week:

Who needs to comply with ACA reporting?

Answered by the HR Pros

The Affordable Care Act (ACA) requires applicable large employers (ALEs) to report each year on whether they did or did not offer health coverage to each of their full-time employees.

An ALE is an employer averaging 50 or more full-time employees, including full-time equivalent (FTE) employees, in the preceding calendar year. Under the ACA, a full-time employee is an employee who averages at least 130 hours per month. An FTE is a combination of employees who, when counted together, equal one full-time employee.

The ACA also requires small employers (non-ALEs) sponsoring self-insured or level-funded health plans to report on enrolled individuals.

You can learn more about ACA reporting here.

This Q&A does not constitute legal advice and does not address state or local law.

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