In late 2018, the IRS began issuing enforcement letters to employers with generally 50 or more full-time or full-time equivalent employees regarding their compliance with the employer shared responsibility rules under the Affordable Care Act (ACA) for the 2016 calendar year. These letters, known as Letter 226-J, inform employers of their potential liability for an…
The ACA imposes a dollar limit on employees’ salary reduction contributions to health flexible spending arrangements (health FSAs) offered under cafeteria plans. This dollar limit is indexed for cost-of-living adjustments and may be increased each year. New Limit Amount In November 2018, the IRS increased the health FSA contribution limit from $2,650 to $2,700 for taxable…
The ACA Checklist highlights key requirements that could impact employers, including New Annual Cost-Sharing Limits, Information Reporting Deadlines, “Pay or Play” Penalties. You can access your checklist here.
Each year, once the dust of open enrollment settles, employers always ask, “What could we have done better?” The usual answer: employee communication. HR is in a unique position to talk about open enrollment because of their relation to employees and their extensive benefits knowledge. With this in mind, consider having HR distribute open enrollment communication…
Form Instructions Also Released The IRS has released the Forms 1094-C, 1095-C, 1094-B, and 1095-B that employers will use in early 2019 to report on the group health insurance coverage they offered during the 2018 calendar year. Instructions on how to complete Forms 1094-C and 1095-C and Forms 1094-B and 1095-B have also been released.…
Keeping Stress at Work in Check Helping your employees deal with stress in the workplace can ultimately lead to greater productivity as well as motivating employees to perform better. Stress can sidetrack employees and prevent them from doing their best. Stress at work may come from significant workload, pressing deadlines and time management issues. When…
Notices Due to Medicare-Eligible Individuals Employers who sponsor group health plans that offer prescription drug coverage to Medicare-eligible individuals are reminded that they must provide a Medicare Part D Creditable or Non-Creditable Coverage Notice to those individuals by October 15. This notice serves to inform Medicare-eligible individuals whether the prescription drug coverage offered is “creditable,”…
Over the last couple of years, the Department of Health and Human Services (HHS) conducted “desk audits” of 166 covered entities and 41 business associates. These audits focused on select HIPAA privacy, security and breach notification requirements. HHS has not released its official findings from the audits yet, but it has identified serious compliance gaps in…
The IRS released draft 2018 forms for Affordable Care Act (ACA) reporting under Internal Revenue Code (Code) Sections 6055 and 6056. Draft instructions for 2018 have not yet been released. The 2018 draft forms are substantially similar to the final 2017 versions. However, the revised version of the Form 1095-C clarifies that the “Plan Start…
Rule Permits Associations Based on Industry or Geography The U.S. Department of Labor (DOL) has issued a new rule that allows employers to join together as a single group to offer group health insurance coverage to employees, working owners (including those without other employees), and their spouses and dependents as part of an “association health…
