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Administrator Guide
Last Updated: 2023-06-23
Create Affordable Care Act Measurement Periods

Create Affordable Care Act Measurement Periods

  • Review the Affordable Care Act (ACA) Checklist.
  • Security:
    Affordable Care Act (ACA) Administration
     in the Benefits functional area.
You can define these periods in Workday for new hires and ongoing workers with variable hours:
  • Measurement Period
    : The date interval used to determine a worker's eligibility for benefit coverage.
  • Administrative Period
    : The date interval that employers can use to enroll ACA full-time eligible workers into benefit coverage.
  • Stability Period
    : The date interval during which ACA full-time eligible workers are eligible for benefit coverage.
Depending on the groups of employees you want to measure, you might have more than 1 measurement period definition. Create new measurement period definitions every year.
Workday automatically adjusts administrative periods to adhere to these requirements:
  • New hires: The stability start date must be 14 months or less from the start date of the measurement period.
  • New hires and ongoing workers: The stability start date must be 91 days or less from the end date of the measurement period.
  1. Access the
    Create ACA Measurement Period
     task.
  2. As you complete the task, consider:
    Option Description
    Measurement Period Eligibility Rule
    A group of employees that are eligible through this measurement period definition.
    Use 2015 Transition Measurement Period Rules
    Workday sets the
    Stability Period Duration (Months)
     to 12 months if you select and enter a number between 6 and 12 for
    Measurement Period Duration (Months)
    .
    The
    Measurement Period Start Date
     must be on or before 2014-07-01.
  3. As you complete the
    Ongoing Measurement Period
     section, consider:
    Workday generates measurement history for the ongoing measurement period when all of these conditions are true:
    • The
      Measurement Period Start Date
       is after the
      Initial Period Begin Date
      .
    • The Measurement Period End Date is before Today.
    • The Initial Stability End Date is before Today. Or, the Initial Stability Start date is on, or before, Today and the initial measurement period for ACA full-time employees is
      No
      .
    Option Description
    Measurement Period Start Date
    The measurement period dates don't need to match the
    Lookback
     dates on the
    Affordable Care Reporting Configuration
     task.
    Administrative Period Duration (Days)
    Number of days for workers to enroll in benefit coverage. The days can't be more than 90.
    Workday recommends that you set the
    Stability Period Start Date
     to coincide with your
    Open Enrollment Event Date
     and the
    Coverage Begin Date
     for new elections.
    Stability Period Start Date
    Stability Period End Date
    The dates through which you must offer coverage.
    For new hires, Workday automatically calculates the stability period start and end dates based on the worker's hire date.
    Automatically populated from the
    Measurement Period Start Date
    ,
    Measurement Period Duration (Months)
    , and
    Administrative Period Duration (Days)
    .
    Stability Period Duration (Months)
    Automatically populated from the
    Measurement Period Duration (Months)
    .
    Include in Passive Event Processing
    Select the check box when there’s a change in eligibility and you want to:
    • Create a passive event.
    • Send passive alerts.
    Workday recommends enabling this option when your ongoing measurement periods don’t align with open enrollment. Example: You have 6-month measurement and stability periods. Passive event processing creates a benefit event for ACA-eligible employees at the end of ongoing measurement periods.
    Clear the check box if the passive event overlaps with an active open enrollment. Example: You have a 12-month measurement period that aligns with open enrollment. Workday offers medical coverage to ACA-eligible employees during open enrollment.
  4. As you complete the
    New Hire Measurement Period
     section, consider:
    Option Description
    Measurement Period Duration (Months)
    Stability Period Duration (Months)
    Workday derives the duration from the ongoing
    Measurement Period Duration (Months)
    .
    Admin Period Duration Before Measurement Period (Days)
    Admin Period Duration After Measurement Period (Days)
    To meet the 14-month or partial administrative month rules, Workday might adjust the start date for the stability period when creating the benefit event.
This example illustrates how to set up the
Ongoing Measurement Period
 section with these settings:
  • Stability start date as January 1.
  • Stability end date as December 31.
  • Measurement duration of 12 months.
Field
Enter
Measurement Period Start Dat
e
November 1, 2014
Measurement Period Duration (Months)
12
Measurement Period End Date
Automatically populates with October 31, 2015.
Administrative Period Start Date
Automatically populates with November 1, 2015.
Administrative Period Duration (Days)
61
Administrative Period End Date
Automatically populates with December 31, 2015.
Stability Period Start Date
Automatically populates with January 1, 2016.
Stability Period Duration (Months)
Automatically populates with 12.
Stability Period End Date
Automatically populates with December 31, 2016.