From policy reminders to breaking news on the federal and state level, we keep our clients and partners updated on the topics that matter in healthcare, wellness and employee benefits.
Frequently Asked Questions
When identifying full-time employees for employer mandate purposes, does an employer include employees from foreign countries?
To determine size for employer mandate and reporting purposes, an employer would only count the employees (and service hours) of those who receive U.S.-source income. They wouldn’t include hours of service for which the compensation constitutes foreign-source income. So, if the employees…Read More »
How does the repeal of the ACA’s individual mandate impact employer group health plans and employer obligations under the ACA’s employer mandate and reporting requirements?
As a reminder, the ACA’s individual mandate was repealed as part of the 2017 tax reform bill. However, the individual mandate repeal doesn’t take effect until 2019. Therefore, the individual mandate remains in effect for 2018, meaning generally that all U.S. citizens…Read More »
If an employer has been a small employer but has recently increased the number of employees, when will the employer become subject to the employer mandate and Section 6056 reporting?
An employer is subject to the employer mandate and Section 6056 reporting if they have 50 or more full-time employees, including equivalents (FTEs), in the previous calendar year. To calculate the employer’s size, an employer must first calculate the number of full-time…Read More »
What can an employer do if an employee is HSA-ineligible but has withdrawn contributions? Can the employer attempt to be reimbursed? Are there any tax consequences for either party?
As background, in order to be eligible to establish and contribute to an HSA, an individual must have qualifying HDHP coverage and must have no 'impermissible' coverage. Impermissible coverage is defined as coverage that pays for medical expenses below the statutory minimum…Read More »
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