Employee Benefits Advisory – July Benefits Bulletin & Webinar Invite

Happy 3rd quarter! Keep your cool this summer by staying up-to-date on these hot topics:

  • 2019 HSA Limits
  • ACA Affordability Percentages
  • Don’t Forget About PCORI Fees
  • Mental Health Parity Compliance

Download 3rd Quarter Benefits Bulletin

Employee Benefits Advisory – June Benefits Buzz and Webinar

We are officially halfway through 2018! Can you believe it? Time is flying by and changes are happening all the time. Make sure you’re in the loop.

  • Reminder – PCORI due date is July 31
  • IRS Announces Second Change to HSA Family Contribution Limit
  • DOL Releases New Resources for Mental Health Parity Compliance

Download June Employee Benefits Advisory

Owen-Dunn is proud to be your resource for all your employee benefits needs. If you have any questions, feel free to reach out at any time.

Employee Benefits Advisory – May Benefits Buzz

  • Better late than never! Did you miss the April, 2 ACA Reporting Deadline? A penalty of $100 per late return will be charged from now until August 1.
  • The IRS released a new 2018 version of the Employer’s Tax Guide to Fringe Benefits. Significant changes have been made. Employers should work with their tax advisors to implement the changes.

Download the May Benefits Buzz

Owen-Dunn is proud to be your resource for all your employee benefits needs. If you have any questions, feel free to reach out at any time.

IRS Changes Position on H.S.A Family Limit for 2018

The Internal Revenue Service (IRS) has announced relief for taxpayers with family coverage under a High Deductible Health Plan (HDHP) who contribute to a Health Savings Account (HSA). For 2018, taxpayers with family coverage under an HDHP may treat $6,900 as the maximum deductible HSA contribution.

In early March we informed you that, as part of the Tax Cuts and Jobs Act, the IRS reduced the maximum deductible HSA contribution for taxpayers with family coverage under an HDHP by $50, to $6,850.

Subsequently, Revenue Procedure 2018-27, released on April 26, 2018, announces the relief and allows the $6,900 limitation to remain in effect for 2018. Individuals participating in an HSA generally can change their contribution amounts monthly, therefore anyone who changed their contribution to stay within the reduced $6,850 limit may now want to increase their contributions to reach the higher $6,900 limit for 2018.

For more information about the Tax Cuts and Jobs Act enacted in Dec. 2017, visit the Tax Reform page on IRS.gov.

Below you will find a Compliance Bulletin which provides an overview of the H.S.A family contribution. Please give your Benefits Consultant at Owen-Dunn a call if you have any questions or concerns.

Download IRS Compliance Bulletin

Employee Benefits Advisory – Benefits Bulletin

Welcome to Q2! Stay up-to-date on the latest tax and policy changes and industry trends.

  • New IRS Tools for 2018 Tax Withholding
  • IRS Reduces 2018 HSA Limit for Family Coverage
  • HHS’ 5-point Strategy to Combat the Opioid Crisis
  • Key Highlights from the 2017 Health Plan Design Benchmark Summary

Download Q2 Benefits Bulletin

Benefit Advisory – Revised HSA Family Contribution Limit for 2018

On March 5, 2018, the Internal Revenue Service (IRS) released Revenue Procedure 2018-10, a revised H.S.A family contribution limit for 2018. This revision comes as part of the tax reform legislation passed earlier this year.

The revised H.S.A contribution limit for individuals enrolled in family High Deductible Health Plans (HDHP) coverage has been reduced for 2018 and is now $6,850, as opposed to the $6,900 family limit announced by the IRS last May. The contribution limit for those with self-only coverage was not affected and remains at $3,450.

This change is retroactive to January 1, 2018. Therefore, previous contribution elections may need to be adjusted and/or excess contributions that have already been deposited for 2018 (e.g., for those who have already contributed the full amount) will need to be returned.

Other benefit limits, including FSA, Dependent Care, HDHP deductible and out-of-pocket limits were not impacted and remain the same for 2018.

Please see an overview of the H.S.A family contribution reduction below. Don’t hesitate to give your Benefits Consultant at Owen-Dunn a call if you have any questions or concerns.

Download Compliance Bulletin

Employee Benefits Advisory – Two Major Changes This Month

Did you know? There are two major employee benefits changes to note this month.

  • IRS Delays Furnishing Deadline
  • Repeal of the Individual Mandate Penalty

For a more detailed description of the changes and what’s next for you and your business download the February Benefits Buzz.

Employee Benefit Advisory – Spending Bill Delays Several ACA Taxes, Including Cadillac Tax

On Jan. 22, 2018, President Trump signed into law a short-term continuing spending resolution to end the government shutdown and continue funding through Feb. 8, 2018. The continuing resolution delays the following three taxes and fees under the Affordable Care Act (ACA):

The Cadillac Tax: The continuing resolution delays implementation of the Cadillac tax on high-cost group health coverage for an additional two years, until 2022. Due to its unpopularity, there is some indication that this additional delay will lead to an eventual repeal of the Cadillac tax provision altogether.

The Medical Device Excise Tax: The moratorium on the medical device excise tax was also extended under the continuing resolution for an additional two years, through 2019. As a result, the medical devices tax will not apply to any sales made between Jan. 1, 2016, and Dec. 31, 2019.

The Health Insurance Providers Fee: The continuing resolution also provides an additional one-year moratorium on the health insurance providers fee, for the 2019 calendar year. However, this fee continues to apply for 2018.

Given the current, rapidly changing legislative environment, it is important for everyone to be aware of the evolving applicability of existing ACA taxes and fees so that you know how the ACA affects your bottom line.

The ACA Compliance Bulletin below provides an overview of the ACA tax delays.

Download the ACA Compliance Bulletin

Please give your Benefits Consultant at Owen-Dunn a call if you have any questions or concerns.

Owen-Dunn Team
(916) 993-2700

Employee Benefits Advisory – IRS Extends Furnishing Deadline for 2017 ACA Reporting

On December 22, 2017, the IRS issued Notice 2018-06 to delay the 2017 furnishing deadline for ACA reporting. Under this notice, the 2017 deadline for furnishing forms to individuals under Section 6055 and Section 6056 was extended for 30 days, from January 31 to March 2, 2018. No request or other documentation is required to take advantage of the extended deadline. The IRS is encouraging reporting entities to furnish statements as soon as they are able.

Notice 2019-06 also extends good-faith transition relief from penalties related to 2017 ACA reporting. However, Notice 2018-06 does not extend the due date for filing forms with the IRS for 2017. The due date for filing with the IRS under Sections 6055 and 6056 remains February 28, 2018 (or April 2, 2018, if filing electronically, since March 31, 2018 is a Saturday).

For more information and an overview of the extension details, click below.

Download ACA Compliance Bulletin

Please give your Benefits Consultant at Owen-Dunn a call if you have any questions or concerns.

Owen-Dunn Team
(916) 993-2700

Employee Benefits Advisory – IRS Issues Pay or Play Enforcement Guidance

On Nov. 2, 2017, the IRS updated its Q&As on the ACA’s employer shared responsibility rules to include information on enforcement. These Q&As indicate that, for the 2015 calendar year, the IRS plans to begin issuing letters informing employers of their potential liability for an employer shared responsibility penalty, if any, in late 2017. They also provide guidance on penalty enforcement procedures.

The ACA Compliance Bulletin below provides an overview of the IRS’ guidance

Download the ACA Compliance Bulletin