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… employer should claim the tax credit for their employees covered by the plan. In the case of a merger or acquisition, if the selling entity is responsible to provide COBRA coverage to merger and acquisition qualified beneficiaries, then the selling entity would be entitled to claim the tax credit. Additional questions address tax credit issues for more limited situations such as employees of state agencies, Professional Employer Organization (PEO) relationships, and Multiple Employer Welfare Arrangements (MEWAs). Other Issues Addressed The notice clarifies that individuals with extended continuation eligibility due to disability determinations, second qualifying events, or extensions available under …

… A section is divided into subsections addressing specific topics, including eligibility for the subsidy, reduction in hours, involuntary termination of employment, coverage that is eligible for the subsidy, details regarding the beginning and end of the subsidy period, how to treat extended election periods, coordination of coverage with emergency extension rules, state continuation issues, and significant clarification and guidance on employer payroll tax credits. Significant Guidance Included in Notice 2021-31 Much of the guidance confirms what was already clear from the statute or had been addressed in the 2009 American Recovery and Reinvestment Act (ARRA) COBRA subsidy guidance, but

Quick Facts The IRS updates HSA and HDHP limits annually for inflation. On May 10, 2021, the IRS released Revenue Procedure 2021-25 updating maximum HSA contribution limits, cost-sharing limits for HDHPs and the maximum amount that may be made available for an excepted benefit HRA in 2022. Overview The Internal Revenue Service (IRS) recently released Revenue Procedure 2021-25, which includes the 2022 inflation-adjusted amounts for health savings accounts (HSAs), high-deductible health plans (HDHPs) and excepted benefit health reimbursement arrangements (HRAs). These limits include the maximum HSA contribution limit, the minimum deductible amount for HDHPs, the …

… changes employers will see (and perhaps benefit from) will be the changes to the Blue Cross members’ practices, which should result in increased market competition and lower payments for employers and employees alike. [1] Insured Groups include both employers and other groups (e.g., Taft-Hartley plans, multi-employer welfare arrangements, association health plans, retiree groups, and other non-employer groups). [2] Self-Funded Accounts include both employers and other groups (e.g., Taft-Hartley plans, multi-employer welfare arrangements, association health plans, retiree groups, and other non-employer groups). EPIC Employee Benefits Compliance Services For further information on this …

… will end sooner if AEIs become eligible for other group health plan coverage or Medicare, or if AEIs exhaust their maximum coverage period under federal COBRA or state continuation. Applicable Coverage For employees and their family members enrolled when a reduction in hours or involuntary termination of employment caused a loss of coverage, the COBRA subsidy must be offered for all group health plans (e.g., medical, dental, vision, HRA (health reimbursement arrangement), EAP (employee assistance program), onsite clinic), but not health FSAs (flexible spending accounts). Employer Responsibility & Payroll Tax Credits For group health plans subject to federal COBRA …

… Reinvestment Act (ARRA). Therefore, we will discuss the guidance that was in place in 2009 in this guide as it’s possible that the agencies will adopt similar guidance for the ARPA COBRA subsidy. Under the 2009 guidance, an involuntary termination meant “a severance from employment due to the independent exercise of the unilateral authority of the employer to terminate the employment, other than due to the employee’s implicit or explicit request, where the employee was willing and able to continue performing services.” Involuntary termination was interpreted broadly under this guidance. The following are all examples of involuntary …