Tag: FSA

Ask the Expert: Can We Require Employee to Reimburse FSA?

We have an employee that used more than contributed in her FSA while she was on a FMLA then personal leave. The plan year is over. The employee is now back. Can we ask her to contribute the balance at this point? I know we can’t make this request upon a termination but what about […]

After-tax HSAs may help employers avoid paying the Cadillac tax

Plan design can help employer plan sponsors avoid the objectionable task of paying excise taxes on health plan coverage they provide to employees. The Cadillac tax is the Affordable Care Act’s way of taxing health benefits, in part to fund the law’s ambitious coverage objectives. As liability under the tax in 2018 approaches, employers are […]

IRS Fleshes Out Plans for Applying ‘Cadillac Tax,’ Seeks Input

New IRS guidance spells out more issues the agency plans to address in imposing the excise tax on high-cost employer-sponsored health coverage (commonly known as the Cadillac tax). These include: (1) identifying taxpayers who may be liable for the excise tax; (2) aggregating several employers under one plan sponsor’s payment; (3) allocating the tax among […]

Definition of ‘Excepted Benefits’ Would Expand under ACA Proposal

Two specific types of limited wraparound coverage could qualify as “limited excepted benefits,” under health care reform rules proposed Dec. 19 by the U.S. Departments of Labor, Health and Human Services and the Treasury. “Excepted” status would be available on a temporary “pilot” basis to coverage that: wraps around a Multi-State Plan offered by the U.S. Office […]

DOL: Cafeteria Plans and Cash Alone Fail ACA Employer Mandate

Employers cannot simply give employees extra money to buy individual health insurance — whether through health reimbursement arrangements, health flexible spending arrangements or just plain cash — and expect to avoid “shared responsibility” penalties, the IRS with the U.S. Departments of Labor and Health and Human Services said in new frequently asked questions about the […]

High-deductible and Health-FSA Participation Grows

Participation in high-deductible health plans and health flexible spending accounts grew at a strong pace, according to the National Center for Health Statistics. The findings in “Health Insurance Coverage: Early Release of Estimates From the National Health Interview Survey, January–March 2013” suggest that employees’ interests in consumer-directed health plans is growing, information employers may find useful in […]