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Open enrollment is rapidly approaching for employers with calendar-year employee benefit plans. Following are ten important issues for employers to consider for the 2024 open enrollment season: Affordability of Group Health Plan. If the employer is an applicable large employer, make sure that the employee contribution for full-time employees for at least one of the …
Continue reading “10 Important Issues For Employers During the 2024 Open Enrollment Season”
On March 29, 2023, the Departments of Labor (“DOL”), Health and Human Services (“HHS”), and Treasury (the “Departments”) published FAQs Part 58 on the Families First Coronavirus Response Act (“FFCRA”), the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), and the Health Insurance Portability and Accountability Act (“HIPAA”), providing guidance on the impact …
Continue reading “End of the COVID-19 Emergency – Impact on Employee Benefit Plans”
Dickinson Wright’s All Things HR Blog is beginning a multi-part series on issues and questions faced by employers in response to the June 24, 2022, U.S. Supreme Court ruling in Dobbs v. Jackson Women’s Health Organization overruling the constitutionally protected right to an abortion and giving each state the right to ban or regulate access …
Group life insurance is perhaps the most common of the benefits provided by employers who sponsor employee benefit programs. Many times employees are given the opportunity to purchase supplemental coverage in addition to the employer-provided basic benefit. Administering a group life insurance plan is easy – right? It’s just a matter of enrolling the employee, …
Continue reading “Administration of Group Life Insurance – Not So Easy?”
The IRS recently announced the ACA affordability threshold for 2021 at 9.83%, a small increase from the 2020 level of 9.78%. In order to avoid triggering a penalty under Section 4980H(b) of the Internal Revenue Code (the “Code”), an applicable large employer must offer full-time employees health plan coverage that provides minimum value and is …
Continue reading “ACA Affordability Threshold for 2021 Announced”
In Notice 2020-29, the IRS gave plan sponsors additional flexibility to allow participants to make certain mid-year cafeteria plan election changes during calendar year 2020 without regard to the restrictions that typically apply, and to adopt an extended claims period for flexible spending accounts (“FSAs”). In Notice 2020-33, the IRS has increased the $500 carryover …
The DOL and IRS recently issued final regulations (the “Final Rule“) that extend notice and premium payment periods for participants and plans under COBRA. Specifically, a group health plan must disregard the period from March 1, 2020 through 60 days after the announced end of the COVID-19 national emergency (the “Outbreak Period”) in determining, among …
Continue reading “Benefits Briefs in the Time of COVID-19, Part 8: COBRA Complications”
Section 125 cafeteria plan elections are irrevocable for the plan year unless the participant experiences a change in status or other event that allows an election change under the Section 125 regulations. Common status change events that may be occurring due to the pandemic include the following: A commencement of an unpaid leave of absence. …
Congress has reversed course and amended the Internal Revenue Code (“Code”) to provide that a health flexible spending account (“health FSA”), health savings account (“HSA”) and health reimbursement account (“HRA”) may reimburse employees for over-the-counter medications, effective January 1, 2020. Background For many years, health FSAs, HSAs and HRAs did not consider a non-prescription drug …
The CARES Act gives employers a way to pay employees’ student loan debt on a pre-tax basis during a portion of 2020 through an educational assistance program under Section 127 of the Internal Revenue Code (“Code”). Overview of an Educational Assistance Program Under a Section 127 educational assistance program, an employer may pay or reimburse …