Fringe benefits: Don’t overlook disability coverage
In many ways, the days of employers offering only “traditional” employee benefits are history. Now, novel perks such as on-site gyms, free snacks and pet insurance are all the rage. But it’s often the more traditional benefits that provide the most value to employees in the long run. Case in point: disability coverage. A common […]
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Is now the time to start offering paid parental leave?
Paid parental leave isn’t required under federal law. This means the United States is among only a few developed nations without a mandate for employers to offer compensated time off to mothers and fathers following the birth or adoption of a child. (Some states do have laws on the books.) Prevailing public opinion and the […]
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Do your employees a favor and remind them about their W-4s
Employees don’t always fill out their W-4 forms accurately. For example, some may wrongly write “exempt” on the withholding portion of the form to ensure that no federal or state tax is withheld. Others may be inadvertently underwithholding because of recent tax law changes. Although the employees themselves are liable for improperly completing their W-4s, […]
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What to know about DCAP reimbursements after a midyear termination
One common configuration of employee benefits today is a cafeteria plan with options for pretax contributions that include a health Flexible Spending Account (FSA) and a dependent care FSA, also commonly referred to as a Dependent Care Assistance Program (DCAP). The health FSA pays for or reimburses out-of-pocket medical expenses for employees and their families, […]
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Why Employers Need to Practice Change Management
When an organization changes — whether it’s something as drastic as a merger or as seemingly innocuous as a new software system — employees may feel threatened. People tend to desire stability and order as opposed to disruption and uncertainty. Employers can minimize the negative fallout from such shifts in direction through a carefully considered, […]
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Surprise! Your 401(k) plan has been disqualified
Most employers, and a fair number of individuals, worry only about an IRS audit of their income tax returns. Unfortunately, the agency can perform another kind of audit that not only may take you by surprise, but also can leave you with a rather shocking result: a disqualified 401(k) plan — and a bevy of […]
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Should You Reconsider Providing Transportation Fringe Benefits?
Although telecommuting is more popular than ever, plenty of employees still have to make a, shall we say, terrestrial commute to work every day. Many employers have long offered transportation fringe benefits to help out these intrepid travelers and enjoyed a tax deduction for doing so. However, with the passage of the Tax Cuts and […]
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IRS Letter Addresses COBRA Premiums for HRAs
Employers with 20 or more employees are generally required to offer continuing health care coverage to departing staff members. This is commonly referred to as “COBRA” after the legislation that made it law: the Consolidated Omnibus Budget Reconciliation Act of 1985. Employers may charge a premium for COBRA coverage, but they must step carefully when […]
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Is Your Employer Withholding Enough in Taxes?
The IRS has updated its 2018 withholding tables to reflect provisions of the Tax Cuts and Jobs Act. Employers use these tables to determine withholding from employees’ paychecks. But it’s your responsibility to ensure you’re withholding enough.
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Putting a Number on Employee Turnover
Many employers have spent countless hours and dollars recruiting good people. On the one hand, each new hire brings fresh strategic ideas, offers creative feedback and, most important, provides distinctive insight into your organization’s mission and operations. On the other hand, recruiting procedures — even effective ones — can drain financial resources. The solution is […]
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