Payroll and HR come with a language all their own. Below, you’ll find clear, straightforward definitions for the terms and acronyms you’re likely to encounter, so you can navigate the fine print, ask the right questions, and feel confident every step of the way.

ACA Affordable Care Act
ALE Applicable Large Employer, under the Affordable Care Act (ACA), an Applicable Large Employer (ALE) is an employer that employed an average of at least 50 full-time employees (including full-time equivalent employees, or FTEs) during the preceding calendar year. Applicable Large Employers are required to offer affordable, minimum-value health insurance to their full-time staff or face potential penalties.
COBRA Consolidated Omnibus Budget Reconciliation Act
EE Employee
EIN Employer Identification Number
EIT Earned Income Tax
ER Employer
ERISA Employee Retirement Income Security Act
ICHRA Individual Coverage Health Reimbursement Arrangement
FICA Federal Insurance Contributions Act (Medicare and Social Security)
FLSA Fair Labor Standards Act
FMLA Family and Medical Leave Act
FSA Flexible Spending Account
FTE Full Time Employee
FUTA Federal Unemployment Tax Act
GTL Group Term Life
HSA Health Savings Account
LST Local Service Tax
NSF Non-Sufficient Funds
PTO Paid Time Off
SUI (Also SUTA, UC, DUA) State Unemployment Insurance
SW (Also WH, SIT) State Witholding Tax