Q.What are the penalties for failing to comply with Section 125 requirements, such as failing to follow a cafeteria plan document’s terms? A: An operational failure occurs when a plan fails to follow its cafeteria plan document’s terms. There are several potential penalties for operational failures, including: Cafeteria plan disqualification Requiring the cafeteria plan to comply […]
In the past, we have highlighted some of the legal risks of employing commission-based employees, as well as some of the methods for limiting those risks. A new court decision out of Illinois provides a good reminder that vaguely described policies and restrictive payment rules can expose employers to large liabilities. In this case, a longtime office furniture salesperson worked under a […]
Are the questions you’re asking potential employees truly helping you identify the best candidate? Increasingly, employers are learning that questions don’t need to be interesting, just effective. Instead of asking a candidate about their favorite superhero, which is essentially another way of asking them what their super power would be, ask them what they like to […]
Summer is approaching, which means your employees are probably looking to get away for a well-deserved vacation — or, at the very least, a staycation that includes unplugging for the week. The low unemployment rate and an increasing number of job openings signal to employers that they need to offer more time off to compete […]
Are only the largest retirement plans audited? The truth is that plans of any size can be audited by the IRS and the DOL. Your plan could be selected for a random audit, or as a result of IRS datasets that target certain types of plans. However, lots of audits are triggered by specific events. […]
The tax reform law has had one interesting consequence for the retirement industry: It has driven up interest in different types of savings plans that work in tandem with 401(k) plans to help company owners and highly compensated employees set more money aside for retirement. Mike Weintraub, president of Relation Insurance Services’ retirement division, says […]
Though some might think that reduced physical demands at work would improve employee health — that more comfortable, sedentary jobs would be safer and healthier long-term — more and more research show that the opposite is true. Even with reduced heavy labor, increased automation and more advanced medical therapies, our nation continues to see a […]
Are only the largest retirement plans audited? The truth is that plans of any size can be audited by the IRS and the DOL. Your plan could be selected for a random audit, or as a result of IRS datasets that target certain types of plans. However, lots of audits are triggered by specific events. […]
Saddled with about $30,000 of student loan debt and lower wages than their parents were making at their age, millennials and Gen Z are forgoing traditional saving strategies to tackle existing debt. The changing workforce demographic has created a new protocol for HR departments to follow, which includes updating the benefits package to resonate with younger employees. […]
Whether your employees are 22 or 62, they need to plan for the unexpected. A sudden injury or illness can dramatically derail their financial well-being and retirement readiness. As the responsibility for healthcare costs shifts to employees, employers are taking steps to help their employees by offering voluntary benefits, like critical illness and accident insurance. […]
