Flex Spending, Section 125 Plans, HRAs, HSAs, COBRA Compliance, Hour Bank Programs. For more information of Flexible Benefits, please contact us today.
Section 125 Flexible Benefit Plan offers tax savings in the form of tax-free reimbursement on qualified medical & child care costs. The Plan helps employees provide needed services for their family — services they are already purchasing — at lower cost. Dollars an employee uses to purchase qualifying medical and/or child care services for his family are now removed from the paycheck before taxes are calculated. These funds are then placed in an account from which the employee’s qualifying expenses are reimbursed. The result — a 20%-40% savings (depending on employees’ tax bracket). Employers enjoy favorable tax treatment as well. Significant tax savings allow your company to enhance its benefits package at generally no net cost to the employer. Download Section 125 Flexible Benefit Information
Health Reimbursement Arrangements (HRAs) are a great way to manage health care costs. With funds contributed by the employer, the HRA reimburses employees for qualified medical expenses up to a specified amount, according to an employer-determined arrangement. These dollars are tax-free for participants. Employers have great flexibility in designing plans to meet their employees' needs, and firms of any size can establish an HRA program. The accounts are not a taxable employee benefit and employers' contributions are tax deductible.
An Hour Bank plan is an arrangement frequently used by prevailing wage contractors to provide year-round health insurance coverage for their employees whose work may be seasonal. Installing an Hour Bank can reduce your employer tax burden and help you comply with ACA in a cost-efficient manner. Pension Corporation of America can assist you in designing and administering your Hour Bank program. We perform a full range of services, from health plan selection and installation, recordkeeping, third-party asset segregation, auditing and remittance of premium, monitoring and performing employee insurance qualifications, administering Cobra continuance coverage, and IRS compliance duties including completing applicable IRS forms 5500 and 990 as needed.
Is the manner in which you are meeting your company’s COBRA obligations compliant with all COBRA rules and regulations? Chances are, it’s not. In fact, the IRS estimates that 90% of all employers who self-administer their COBRA obligations are not compliant. Choosing to self-administer COBRA obligations comes with ahuge responsibility. In addition to being one of the federal gov-ernment’s most complex laws, COBRA regulations are among the most rigid. Requirements must be met exactly. When it comes to COBRA, every single detail must be handled correctly the first time, every time. Let Pension Corporation of America handle your COBRA administration timely, accurately, and in compliance with all applicable laws and regulations.
For more information, contact Beth Robinson, account manager, at 513-719-4164.
If you have any problems, please call us at 1-800-848-5848, Monday-Friday 8am-6pm EST.