Monthly Commuter Benefit Election Changes

Question: What are the differences in the election change rules between commuter benefits and FSA? Compliance Team Response: Section 132 Commuter Benefit Elections: May be Changed Monthly The big difference between commuter benefits and FSAs is that the period of coverage for commuter benefits can be (and almost always is) limited to only one month. The […]

Tax Consequences of Domestic Partner Health Coverage

Question:   Could you provide a short employee-facing summary of the tax consequences for domestic partner health coverage? Compliance Team Response: For employers, we have much more detail available in our ABD Office Hours webinar Health Benefits for Domestic Partners: Review of the Tax and Coverage Rules for Employers. Below is a short summary for employees. […]

HIPAA Privacy and Private Workspaces

Question:   An employer  is moving to “hotel” seating for all employees. Do they need to designate a separate private workspace for employees who have access to PHI? Compliance Team Response: Employers that have a self-insured health plan need to maintain a HIPAA firewall  that ensures  only those employees who need access to PHI for plan […]

Limited Purpose Health FSA Preventive Expenses

complQuestion: Can a limited purpose health FSA reimburse preventive medical expenses (in addition to dental and vision expenses) without affecting HSA eligibility?    Compliance Team Response: Limited-Purpose Health FSA Enrollment in a limited purpose health FSA does not block HSA eligibility.  It may reimburse only dental/vision/preventive expenses of the employee or a qualifying dependent. Preventive expenses […]

COBRA Disability Extension

Question:  When is the COBRA disability extension available, and how does it interact with Cal-COBRA? Compliance Team Response: COBRA Maximum Coverage Period Where available, the COBRA disability extension increases the maximum coverage period from 18 to 29 months: 18 Months: Termination of employment Reduction of hours 29 Months: Disability extension 36 Months: Death of employee […]

HSA Limit for Partial-Year Family Coverage

Question:   An employee who began the year in employee-only HDHP coverage was recently married and enrolled her new spouse mid-year.  What is the HSA contribution limit for HSA-eligible individuals enrolled part of the year in employee-only HDHP coverage, and part of the year in family HDHP coverage?    Compliance Team Response: The HSA contribution limits […]

Missing the Dependent Care FSA Run-Out period

Question:  Can the employer make an exception for an employee who fails to submit dependent care FSA claims by the end of the plan’s run-out period?  Could they extend the plan’s run-out period?    Compliance Team Response: Unfortunately, where an employee fails to submit dependent care FSA expenses prior to the end of the plan’s […]

Leave Rules Under the ACA Look-Back Measurement Method

Question:  How does the ACA look-back measurement method apply to a non-protected unpaid personal leave?  Do the same rules apply to dental and vision coverage?    Compliance Team Response: Medical Coverage: Non-Protected Leave under the Look-Back Measurement Method An employee who has full-time status during a stability period and changes employment status to working part-time […]

Hawaii Health Plan Requirements for Employers

Question:  What are the main health plan-related issues for employers to be aware of when they hire employees in Hawaii?   Compliance Team Response: Hawaii has a unique law called the Prepaid Health Care Act (PHCA).  It imposes a number of strict requirements on employer-sponsored health plans for employees in Hawaii. Here’s a summary of […]