Chances are you have the option of choosing from a Health Savings Account (HSA) or Flexible Spending Account (FSA) through your employer's benefit package.  Especially if you have access to both, you probably have asked yourself the question, "Which is the best option for me?" [read more...]

Time is money and administering your Section 125 Premium Only Plan (POP) shouldn’t be something that is costing you money, but saving it. So, to help save you in your valuable time here are some things to consider when deciding how to administer your premium only plan. [read more...]

High Deductible Health Plans were the fastest growing segment of health plan design for 2011.  Most HDHP’s are accompanied with a Health Savings Account (HSA).  The benefits of a Health Savings Account or HSA are significant, and now your tax savings can be even greater. [read more...]

City managers and human resource managers are finding themselves and their benefit packages under the public microscope over the past several years.  Where many towns, cities, and county budgets had allowed for 100% coverage of benefits that required no employee participation we’re finding that arrangement changing rapidly.  Many government or quasi government plans are starting to require their participants to cost share in at least a portion of their benefits.  Others are turning toward high deductible health plans coupled with a health savings account.  In either case, if you have not augmented your benefits plan with an IRS Section 125 Premium-Only Plan, you are missing out on substantial cost savings – and so are your employees. [read more...]

Non-profits enjoy amazing tax treatment and are exempt from many of the laws, rules, and taxation that are required of private business.  However, over the past several years the IRS and D.O.L. have found many 501(c)3 have been extremely out of compliance with things such as retirement plan reporting and tax deductibility of employee withholdings just to name a few.  Based on these findings the IRS changed many rules governing qualified plans in 2009 for plan years starting 2010 in regards to having a written plan document, filing 5500’s with the IRS and many other steps to make sure these non-profits were in compliance.  Although these requirements are specific to 403(b) retirement plans our office has been amazed at the frequency of calls or live chat with executives at non-profits who believe they are exempt from the need to have a written plan document for their employee deductions for health and welfare benefits. [read more...]

The fact is that owners can not participate in the company’s Section 125 Cafeteria Plan. Specifically the following owner/employees are not able to participate in a Section 125 Cafeteria Plan: [read more...]

The non-discrimination rule that applies to some benefit plans will increase its impact once final regulations are released.  The 105(h) rules prohibited employers with self-funded plans from creating a benefit package that shows preference to some individuals over others. The IRS will include fully funded plans in this requirement once the regulatory guidance is released. [read more...]