Does 7shifts Payroll support QSEHRA plans?

Question

Does 7shifts Payroll support Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) plans?

Answer

No. 7shifts Payroll does not currently support QSEHRA plans. While you can issue payments to employees for these reimbursements, the system will not report them on the employee's W-2 at the end of the year.

If you choose to record QSEHRA payments through 7shifts Payroll, you can enter them as a non-taxable reimbursement during the payroll submission process. This ensures the employee receives the funds without tax deductions, but you must handle any required tax reporting or year-end documentation externally.

What to do

To record a QSEHRA payment (without W-2 reporting):

1. Log in to the 7shifts web app as an Admin.
2. Navigate to Payroll in the left navigation bar.
3. During the Run Payroll process, locate the employee and enter the QSEHRA amount in the Reimbursements field.
4. Complete the payroll submission.

This payment will be included in the employee's paycheck as a non-taxable line item but will not be reflected on their annual W-2.

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