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Eligibility for medical services at an Indian Health Service (IHS) facility does not disqualify an individual from being able to establish a health savings account (HSA) — but actually receiving such services can. That is what the IRS said in Notice 2012-14, which it issued on Feb. 1. The IRS said that individuals who are […]
The Making Work Pay Tax Credit won’t be available this tax season as the government limits tax deductions, write-offs and credits for 2011 and 2012. Also this tax season, the tax penalty for non-qualified distributions from HSAs and Archer MSAs is increasing. Employers should be aware of these and other changes, many of which are listed […]
On Jan. 1, employers in San Francisco will have to make sure that employee health reimbursement accounts the city requires them to fund are available to employees for two years, not just one. Amendments to the Health Care Security Ordinance (HCSO) add to the requirements the city already has in place to establish access to universal […]
Flexible spending accounts (FSAs) are a common feature of employee benefit plans. But why would an employer offer an FSA plan to its employees? Well, it’s extra money in your workers’ pockets that you and your employees probably don’t want to leave lying on the IRS’ table. Karen Kirkpatrick, senior compliance adviser for Infinisource, explained […]
The year 2011 will soon be in the history books so it is not too early to work on the master “to do” list for 2012. Here are a dozen suggestions for benefits and insurance professionals who are involved with flexible benefits, by Rich Glass, JD, Chief Compliance Officer, Infinisource, Inc. Keep an eye on […]
The IRS has just given you a hand in better enabling your employees to establish health savings accounts (HSAs). The IRS on Aug. 30 issued Announcement 2011-59, which includes a list of entities the IRS has approved to serve as nonbank trustees and custodians of HSAs. Under Code Section 223, which sets the rules for […]
Does your computer’s spelling function auto-correct “HSA” to “HAS”? Mine used to, not recognizing that this abbreviation is no longer an error, but represents health savings accounts (HSAs), one type of consumer-directed health plan that is fast becoming mainstream in the health benefits industry. Health savings accounts couple a tax-favored savings account that is used […]
On September 3, 2010, the IRS issued guidance addressing the changes made by the health care reform package (the Patient Protection and Affordable Care Act and the Health Care and Education Affordability Reconciliation Act of 2010) to the use of certain health care accounts. More specifically, effective in 2011, the health care reform legislation limits […]
Read the latest news on health care reform efforts in Congress and how they will affect employers In a 60-39 party-line vote, U.S. Senate Democrats voted last night to begin full debate on the Patient Protection and Affordable Care Act (H.R. 3590), a comprehensive 2,074-page health care reform bill. The legislation, which Senate Majority Leader […]
The Treasury Department and the IRS have issued additional guidance on Health Savings Accounts, or HSAs, the recently authorized tax-exempt savings accounts employees can set up to pay medical expenses. For more information, go to the Treasury Department website.