This year, for the first time, the IRS is beginning to collect penalties from employers who did not comply with the ACA employer mandate - back in 2015. Employers are beginning to receive Letter 226J, stating what they owe for Employer Shared Responsibility Payments (ESRPs).
Topics: Legislative Update
In late December last year, the new tax bill, formerly titled "The Tax Cuts and Jobs Act," was signed into effect. The 500+ page bill will have far-reaching impact across multiple industries. Particular focus has been placed on how the bill modifies employee benefits, including the Affordable Care Act. With that in mind, here are three key ways the bill will affect employee benefits in 2018.
Included in this infographic are the 2018 indexed figures for retirement limits, flexible benefit related limits, and transportation benefits.
On October 12, Trump signed an Executive Order to "reform the United States healthcare system to take the first steps to expand choices and alternatives to [ACA] plans," he announced in a White House press release.
The IRS has released their updated forms for the 2017 plan year, along with updated instructions. This is what you need to know.
On January 20th, an executive order directed agencies to reduce potential burdens on employers due to the Affordable Care Act. That announcement kicked off a series of dialogues, predictions, and proposals that left employers wondering how to proceed. It was widely speculated that the IRS would not enforce ACA reporting this year, and employers could disregard the individual and employer mandate requirements without fear of penalties. This is not the case.
We've written before about the EEOC's limits on wellness programs. For a wellness plan to be considered truly "voluntary", the incentives for participating (and therefore the penalties for not participating) can't be so high that they would compel an unwilling participant to join. To be compliant with the ADA and GINA, plans that require participants to disclose family medical history or undergo a medical screening can't have an incentive that exceeds 30% of their health insurance premium. That is, until now.
The IRS has recently issued Revenue Procedure 2017-37, which provides the 2018 cost-of-living contribution and coverage adjustments for HSAs, as required under Code Section 223(g).
The IRS has just announced an increase in the limits for Flex Spending Accounts among other key benefit limitations. The limit on employee contributions to employer-sponsored FSAs has increased to $2,600 per year for 2017. This is a $50 increase over last year’s limit of $2,550.