New York Wine & GrapeNews

14

Feb

Employee Benefits News from Century Enrollment & Benefit Services LLC

Valerie Ross

Category: Industry

 

Century Enrollment & Benefit Services
   Monthly Newsletter

Issue: #1  February 2018 

Welcome to our first newsletter of 2018 and with it updates on several topics related to health care reform, new laws impacting employers in NYS and employee benefits in general. Please pass our newsletter along to anyone who might benefit from this information.  As we enter the mid point of Winter, lets rejoice in the season and know that Spring is only 35 days away!

If there are topics you would like to see discussed in future newsletters, please email me directly and I will do my best to provide the requested information.

Kind Regards,
Joseph Cavallaro
President  

Health Care Reform News

IRS Postpones 1095 Delivery Deadline

 

The Internal Revenue Service says the 2018 health coverage notice delivery deadlines for employers and insurers will be about the same as the 2017 deadlines.

The IRS is once again giving insurers and self-insured employer health plans 30 extra days to get Form 1095-B and Form 1095-C coverage notices to the enrollees, former enrollees, and other people who are supposed to receive the forms.

The IRS announced the information reporting deadlines for the 2017 coverage year in IRS Notice 2018-06.

 

Consumers use 1095 forms to show whether they qualify for the Affordable Care Act premium tax credit and the ACA cost-sharing reduction subsidy, and to show whether they have to pay the ACA individual mandate penalty.


Dates

Originally, insurers and employer plans were supposed to get the 1095 notices for 2017 coverage to enrollees and former enrollees by Jan. 31, 2018.

Coverage providers now have until March 2, 2018, to send the notices to the recipients.

Employers and insurers also have to send copies of the 1095 forms, along with 1094 summary forms, to the IRS.

The IRS is sticking to the official schedule for the IRS filing deadlines.

For organizations that file their returns on paper, 1095 form bundles for 2017 coverage will be due Feb. 28, 2018.

For organizations that use the electronic filing system, the 1095 bundles will be due April 2, 2018.

An employer or insurer that needs more time to file its 1095 bundle can ask for an automatic deadline extension by filing Form 8809 with the IRS.

 

The Affordable Care Act imposes a penalty on many families that fail to have enough of what the government classifies as minimum essential coverage, or solid major medical coverage, for enough of the year.

Consumers use 1095 forms to document whether they did enough to keep themselves covered to avoid the ACA individual mandate penalty.

The new Federal Tax Cuts and Jobs Act will set the individual mandate penalty at zero, but TCJA Section 11081 applies only for months beginning after Dec. 31, 2018.

For 2018, the individual mandate penalty will still be equal to 2.5% of modified adjusted gross income over the tax filing threshold.

That means individual taxpayers will still need 1095s when they file their income taxes for 2017 early in 2018.

The TCJA leaves all of the rest of the ACA, including the employer and insurer coverage reporting requirements, in place.


Errors

The IRS now requires employers and employer-sponsored health plans to get detailed information about plan members' dependents for the 1095 forms.

Employers need the dependents' full names, dates of birth, and Social Security numbers.

Last year, the IRS provided transition relief for employers and insurers that were unable to supply correct, complete information, if they could show they made good-faith efforts to comply with the reporting requirements.

The IRS says it will keep the good-faith relief in place for the 2017 coverage year.

"No relief is provided in the case of reporting entities that do not make a good-faith effort to comply with the regulations or that fail to file an information return or furnish a statement by the due date," officials say in the new notice.

 

Health Care Reform News, Part 2

The GOP Tax Bill Repeals Obamacare's Individual Mandate

 

Here's What That Means for You:

The GOP's new tax bill, which passed Congress in December after one last vote in the House of Representatives, is also a health care bill. The tax bill does at least as much (if not more) to upend Obamacare, or the Affordable Care Act, than all of the Trump administration's thousand cuts to the health law over the past year by repealing the individual mandate. Which raises the question: Just what is the Obamacare individual mandate? And what does its repeal mean for Americans? Click here for the remainder of this article.

 

Paid Family Leave

Back in December, 2017, ShelterPoint asked New York businesses how ready they were for Paid Family Leave (PFL). While 28% of employers that participated in the study were quite prepared for Paid Family Leave, the biggest surprise was that ⅓ were barely prepared for PFL. 

 

The 2 biggest areas where most employers still had their work cut out for them revolve around educating their employees:

  • Almost ¾ of employers (that's 73.7%) had yet to educate and prepare their employees around PFL.
  • And almost 70% (68.4%) still had to create written guidance for their employees.

If you are a client of Century, hopefully you are aware of the new Paid Family Leave that became law on January 1st. We have written extensively about this new law in previous newsletters and emails and are available to answer any questions you might have. The PFL Posting Notice(PFL-120) should already be posted in your business and it is your responsibility(and required by PFL law) to make sure you have materials available for your employees so they are aware of Paid Family Leave and what to do if they decide to take it. 

 

Here are 2 articles containing a wealth of information:

Article 1

Article 2

 

Just For Fun

On a personal level, I have been involved with mentoring a young man through Compeer of Rochester for 7 years and have found the experience to be rewarding and very much needed in the communities we live in.

 

This article provides insight into the mentor/mentee relationship in the workplace and the benefits to both. If you have an extra hour or 2 per week, please consider getting involved with a group in your community to mentor someone, you won't regret it! 

 

Quote of the Month

When something is important enough, you do it even if the odds are not in your favor. 

 

Elon Musk

 

About Us

Century Enrollment & Benefit Services LLC is an independent insurance and benefit communication firm headquartered in Rochester, NY. With 30 years of experience in the insurance industry, the representatives of Century will guide your organization through the maze of employee benefit options available to today's business owner. 

 

Our focus is on the selection, implementation and communication of employee benefits to both yourself and your workforce.