Q.- One of our employees said there is an error on the Form 1095-C he received from us. Do we have to correct the mistake?
The U.S. Department of Labor provides government resources, tools and publications of interest to women in the workforce.
Applicable Large Employers (employers with 50 or more full-time equivalent employees) should have completed their employee shared responsibility reporting for the 2016 plan year. IRS 1095 forms were required to be furnished to full-time employees and covered employees by March 2, 2017.
Q.- A terminating employee is electing COBRA. She still has funds left in her FSA. Can she use those funds to pay for her COBRA coverage?
Health care flexible spending account plans (HFSA) and dependent day care flexible spending account plans (DFSA) are subject to Internal Revenue Code nondiscrimination requirements. Under the Code, HFSAs and DFSAs must not discriminate in favor of highly paid and key employees. There may be adverse tax consequences for plans that fail nondiscrimination requirements.
House Committee on Energy & Commerce and Committee on Ways & Means issued a “Managers Amendment” making changes to the American Health Care Act (AHCA). The Managers Amendment consists of both policy and technical changes to the AHCA. If passed by the House, the AHCA will move to the United States Senate for consideration. See our article on important aspects of the AHCA here.
Q.- An employee has to pay up-front for her son’s braces, before he gets the braces on his teeth. Can she be reimbursed for the full up-front payment even though the service has not yet been incurred?
More and more companies are foregoing annual performance reviews in favor of more frequent check-ins. Upper management is finding that workers need continuous, ongoing feedback and solutions, and waiting for an annual review is not meeting business needs. Supervisors have indicated that the forced numerical rankings and large amount of paperwork typically associated with an annual review process does not enhance productivity and is time consuming for both managers and employees.
An employer with fewer than 50 full-time/full-time equivalent employees may offer a qualified small employer health reimbursement arrangement (QSEHRA). See our previous article HERE. A QSEHRA was introduced by the 21st Century Cures Act in December 2016 and provides small employers new options for helping employees with medical expenses.
Q.- An employee has a diagnosis of obesity. She is starting a weight reduction program, and wants to be reimbursed for the cost of the food purchased on the program. Is this an expense that is eligible for reimbursement from her health flexible spending account plan?
The IRS released updated versions of Publication 502 and Publication 503.
The two committees of the U.S. House of Representatives with jurisdiction over health care (the Ways and Means Committee and the Energy and Commerce Committee) each released proposed legislation, which, if passed by the U.S. House of Representatives and U.S. Senate and signed into law by the President, would overturn the Patient Protection and Affordable Care Act (“ACA”). Called the “American Health Care Act,” (“AHCA”) the legislation repeals and replaces several provisions of ACA, while keeping others.
As part of Benefit Allocation System’s focus on Community Service, BAS participated in the Guest Chef Program at one of the Ronald McDonald Houses in the Philadelphia Chapter. On Sunday, March 5th, BAS employees and family members prepared and cooked dinner that included a main entrée, side dishes, salad dishes and desserts for 35-40 families staying at the Front and Erie Ronald McDonald House.
Q.- What is a carryover and what is a grace period in a health flexible spending account plan?
A recent case in the Third Circuit adds complexity to employer actions with respect to potential age discrimination. The Age Discrimination in Employment Act (ADEA) prohibits age discrimination against people who are age 40 or older. Age discrimination is treating someone (a job applicant or an employee) less favorably because of his or her age. The law does not prohibit treating an older worker more preferential than a younger worker, even if both are age 40 or older.