DOWNLOAD PDF MARCH 2019 COMPLIANCE UPDATE Contract Theory Governs Retiree Health Coverage Health coverage is expensive and employers are having a hard time offering quality/affordable coverage to employees. Therefore, it comes as no surprise that employers often want to reduce or eliminate coverage for retirees. COURT APPLIES ORDINARY PRINCIPALS OF CONTRACT LAW FOR BARGAIN AGREEMENTS SIXTH COURT RULES FOR EMPLOYER TO TERM RETIREE COVERAGE It also should come as no surprise the retirees will... Read More
DOWNLOAD PDF FEBRUARY 2019 COMPLIANCE UPDATE As the government re-opens its doors, it appears it is making tax changes with a vengeance. Please take a minute to read this month’s newsletter for some important changes that have come across Capitol Hill, along with other rulings that may affect you as an employer or employee. Don’t Use My Money!! A recent Federal court case prohibited United HealthCare from using money from one health plan to offset... Read More
DOWNLOAD PDF We hope everyone had a safe and happy holiday season. Time to get back to work unless you are impacted by the government shutdown. No telling when that will end. This newsletter will be longer than most since it includes articles from the date of the last newsletter (i.e. November 15, 2018) till today. PLAN LIMITS FOR 2019 Many of the rules of government benefit plans have an inflationary factor. That is, the... Read More
DOWNLOAD PDF HOLIDAY SEASON GIFT IDEAS Just in time for the gift giving season I am pleased to announce the 2018/2019 Edition of my book, the Welfare Benefits Guide: Health Plans and Other Employer Sponsored Benefits, is now available. 2018-2019 Welfare Benefits Guide This makes the perfect stocking stuffer and we are adding a new twist. If you buy at least 10 sets of my book, I will autograph each one for a nominal fee.... Read More
DOWNLOAD PDF MEDICARE PART D NOTICES There are two Medicare Part D Notice requirements. Medicare Part D is the prescription drug benefits under Medicare. There are two notices. One goes to the employees and the other goes to the government. There is some confusion regarding the notices to employees. Everyone says this notice has to be distributed by October 15, which is the start of the annual open enrollment period. However, the rules say the... Read More
DOWNLOAD PDF LEGAL FEES UNDER ERISA LITIGATION No one likes to be involved in a lawsuit except the lawyers. Oftentimes lawyers will take on a case because the statute allows for legal fees. ERISA is one of those laws. ERISA allows fees for “some success” The courts have expanded the circumstances under which lawyers can be awarded fees when the basis of the lawsuit is ERISA. The standard is now that the court may award... Read More
Download PDF UPDATED MARKETPLACE NOTICES One of the most important parts of the Affordable Care Act is the marketplace, or health care exchange. Although the Trump administration continues to attack the statute, it still is the law of the land. One of the requirements is that employers notify new employees at the time of hire about the marketplaces or health care exchanges. Update to the Marketplace Notice The government provides a model notice employers can... Read More
DOWNLOAD PDF PCORI FEE DUE The PCORI fee is due the end of this month. The fee is assessed against all health plans. If you are sponsoring a fully insured health plan, the carrier pays the fees but passes the cost on to the employer through higher premiums. On the other hand, if you sponsor a self-funded health plan (including an HRA) then you have to report and pay the fee. PCORI fee: Key action... Read More
DOWNLOAD PDF FORM 5500 FILINGS ERISA imposes all kinds of reporting and disclosure obligations. One of the most important ones is the obligation to file Forms 5500. The filing requirement applies to welfare benefit plans that have at least 100 participants (i.e. employees) in them as of the first day of the plan year. A welfare benefit plan with more than 100 participants (i.e. employees) in it on the first day of the plan can... Read More
DOWNLOAD PDF HSA REDUCTION RELIEF MAY BE COMING As we reported in the last newsletter, the IRS retroactively reduced the maximum 2018 family HSA contribution by $50. That is not a lot of money but it does create an administrative headache for those that previously contributed the maximum amount prior to the announcement. Transition relief may follow HSA contribution reduction It is possible Congress may step in and provide legislation granting transitional relief for the... Read More