Tag: Section 125

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TaxFreePremiums your Section 125 Premium Only Plan (POP) Provider

Every penny counts when you’re running a business, so why would you want to pay your attorney to create a Section 125 POP Plan document that you can generate in just a few minutes? Section 125 Plans are complex. Even the simplest IRS rundown takes multiple tries and is difficult to digest, costing you and…
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ERISA & SPD Wrap or Summary Plan Description Wrap Documents

Recently we joined forces with a company to assist in additional forms of compliance.  These compliance issues fall directly in line with the rumors of the ERISA DOL Audits.  HR Service Inc and ERISA Solutions are those companies.  The professional atmosphere, experienced employees, and customer service-oriented environment is appealing; yet the powerful and user-friendly tools/documents…
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In September the IRS issued two notices regarding the Affordable Care Act.  Notice 2014-49 describes a proposed approach for applying the look-back measurement method used to determine full-time employee status for purposes of IRS Code § 4980H in situations when the measurement period applying to an employee changes. This change may occur because the employee…
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125 POP Document Changes Summary

As explained below, the laws governing Section 125 Premium Only Plans recently changed. We have updated your plan documents to reflect these changes. Please log on to your account at https://www.taxfreepremiums.com/main/login and download the newly updated documents to remain in compliance. The new IRS Notice 1455 creates two new Section 125 mid-year qualifying events designed…
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Election Changes to the Section 125 POP Plan

Thursday, September 18, the IRS released guidance regarding current Section 125 rules that is likely to be well-received by most employers. The guidance permits two new permitted election changes. 1.   Those changing from employer-sponsored group health coverage to other minimum essential coverage (MEC) options due to a reduction in hours. 2.  Those changing from…
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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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