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Final Regulations on 90 day waiting period

It is estimated as many as 60% of all companies renew their group health plans in Jan. of each year.  However many groups especially small business renew their policies throughout the year and are phasing in the new “ACA” regulations concerning the minimum 90 day waiting periods. There is more flexibility in the final regulations…
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Can An Employer Run Individual Policies Through Section 125? – USE YOUR OWN JUDGEMENT

In an IRS revenue release in 2007 the IRS announced clarity allowing employers to run Individual Policies through a Section 125 or Section 105 HRA for purposes of premium payment.  With the signature of “ACA” the new law outlines the exclusion of Section 125 plan for state run exchanges or individual plans purchased through a…
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Is Your Plan Starting 2014 in Compliance with IRS Section 125?

The Department of Labor has significantly increased the amount of audit activity reported from HR sources in 2013 and enhanced audit inquiries are expected through 2014 as well.  With all the new regulations being issued and plan updates that are required under the Department of Labor through recent bulletins many employers fail to remember some…
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Brokers helping their clients with Section 125 POP Documents

The modern broker is much more than an insurance agent.  Today the broker/consultant act as an advisor to clients to navigate the benefit landscape not only for insurance products but also for compliance, documentation, advice on waiting periods and contribution strategy. It is expected that as many as 35-45% of small employers in the 2-50…
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Employers Required to Offer Employer Contribution for Section 125 POP

Recent guidance from the Department of Labor clarified that individual or personal plans not sponsored through an employer on a group plan basis are not eligible for Section 125 Plans as a tax-favored benefit.  They have recently added additional guidance that affects group plans to fall close possible loopholes of employers offer group coverage on…
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Pre-tax Contributions for Non-Employer-Sponsored Health Plans Through Section 125?

New guidance issued from the Department of Labor and Internal Revenue Service states that insurance that is not sponsored through group coverage and includes an employer contribution is NOT an eligible expense through IRS Section 125 plans. There are a number of tax schemes and organizations that are working to create a product or avenue…
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Utah State Exchange AvenueH Offers Small Business Options for their Section 125 POP Documents

Utah has a state run exchange that has been running for years prior to the launch of the “Affordable Care Act”.  The state run exchange named Avenue H is exclusively for small business with 2-50 employees.  Despite the delays in the federal run exchanges to offer multiple carriers on a defined contribution, Avenue H has…
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Section 125 POP & Individual Plans….Have You Heard of The Term “Double Dip”?

Our office has been flooded with calls and e-mails concerning the ability to allow employees to run their premiums for personal plans through a Section 125 POP to avoid income tax.  Unfortunately ACA specifically identifies and prohibits the use of a Section 125 Plan for premiums through the federal exchange. There has been wide publicity…
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Are you Ready for a DOL Audit?

Over the past several months we have heard of a significant increase in audit activity and compliance checks for small employers. Based on the feedback we’ve received it appears the DOL is focused much more on encouraging compliance than just reaching for penalties however this could change quickly.  Clients of taxfreepremiums.com when purchasing an IRS…
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What do Tax Credits really mean for the individual market?

Enrollment on the state and federal health exchange will begin Oct. 1st, 2013 for a Jan. 1st, 2014 effective rate.  As of today very little information on plan design and rates is available. What is available is a new study from Kaiser Family Foundation showing the average current family premium and average subsidy available to…
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