Eligibility of Parents for a Group Health Plan

In the U. S., parents are never eligible dependents under a group health plan. Question:  I know that employees cannot enroll their parents in the health plan even if they are a tax dependent or have a mid-year event. But what is the technical reason why? Compliance Team Answer: Parents Not Eligible Health plans do […]

Occupational Health & Safety Alert – Health and Safety Committees

Establishing a health and safety committee is an effective way to support a company’s Injury and Illness Prevention Program by providing an opportunity for management and employees to work together on promoting safety and well-being for all employees. Benefits of a committee Prevention and reducing the risk of workplace injuries and illnesses Employee engagement and […]

Occupational Health & Safety Alert – Injury and Illness Prevention Programs

Source: State of CA Department of Industrial Relations Over the last 40 years, employers have had the responsibility to provide a safe and healthy work environment for their employees under the Occupational Safety and Health Act of 1970 (OSHA). Today, several states have mandated requirements to enforce the implementation of a workplace safety program. Cal OSHA: Basic […]

Merger and Acquisition Rules for Health FSA

There are several options to address Health FSA issues in a M&A situation. Question:  What are the health FSA options for employers in a M&A situation? Compliance Team Answer: Upon acquiring a selling entity that sponsors a health FSA for its employees, the buyer will have two options to address the buyer’s health FSA: Option […]

HSA Interaction with Health FSA

Participation in a general purpose FSA can be a disqualifying plan for making contributions  into a HSA. Question:  How do the HSA eligibility rules work for an employee or spouse who is covered by a health FSA for part of the year? Compliance Team Answer: HSA Eligibility: General Rule The general rule is that an […]

American Health Care Act Fails

In a dramatic turn of events, Speaker Ryan and President Trump made the decision to pull consideration of the American Health Care Act from the House floor upon reaching the scheduled 12:30PST vote.  The House was put into recess and did not reconvene for reconsideration.  There was no vote after the four hours of floor […]

HSA Last-Month Rule

Determining an employee’s HSA contribution limit following a mid-year election can be tricky. Question:  An employee was hired mid-September last year and enrolled in the HDHP coverage on date of hire. What is his 2016 HSA contribution limit? Compliance Team Answer: Standard Rule: Proportional Limit The general rule is that the employee would have a […]

Health FSA Reimbursements after Termination of Employment

This week’s question is a two part question dealing with the regulations surrounding reimbursement of FSA claims after termination of employment and options available. Question Part I: Does an employee ever have longer than 90 days to submit health FSA claims after terminating employment? Compliance Team Answer: Run-Out Period Cafeteria plans typically provide for a […]