The Department of Health and Human Services released final Health Insurance Portability and Accountability Act (HIPAA) privacy and security regulations on January 25, 2013. These regulations impact covered entities, including group health plans, most health care flexible spending accounts, and their business associates. The new rules were effective March 26, 2013, but covered entities and
Understanding Employee Benefits and key developments in the employee benefits field and items of interest to our clients. MORE
Cafeteria Plans
IRS Clarifies Medicare Premium Deductions for Sole Proprietors, Partners and S Corporation Shareholder-Employees
By Stinson LLP on
Sole proprietors, partners (including LLC members) and two percent shareholders in an S corporation are not treated as “employees” for purposes of certain benefits. Among those benefits is employer provided health insurance coverage. While employer subsidies for health coverage are generally excluded from the income of employees, that is not the case for sole proprietors, …
IRS Issues Guidance on $2,500 Limit on Health FSAs
By Stinson LLP on
Under the Health Care Reform Act, health flexible spending arrangements under cafeteria plans are limited to $2,500 in salary reduction contributions beginning in 2013. Employers with plan years that were not calendar years have been wondering how the limit would be applied. The IRS has now issued guidance in the form of Notice 2012-40 with …
HSA/HDHP Limits for 2013
By Stinson LLP on
The IRS has released the 2013 limits for Health Savings Account (HSA) contributions. The annual contribution limit for 2013 increases to $3,250 for an individual with self only coverage and $6,450 for an individual with family coverage from $3,100 and $6,250, respectively for 2012. The minimum annual deductible for a qualifying high deductible health plan…