The Difference card offers ERISA Compliance Services to support brokers and employers to protect themselves from costly penalties. The penalties are steep, the steps complex and the paperwork requirements are outdated.
To ensure compliance, employers should have a plan document for their self-funded plans, including Health Reimbursement Arrangements, Medical Expense Reimbursement Programs, Flexible Spending Accounts, and Dependent Care Accounts. Even when simply withholding healthcare premiums pre-tax, employers must have and adopt a Premium Only Plans document (POP).
Additionally, employers subject to ERISA are required to distribute the summary plan descriptions to employees. When changes are made, employers must issue amendments and issue employees a summary of material modifications, typically within 60 days of the change. Employers must maintain copies of updated issuing restatements at least every ten years if changes have not been made and every 5 years if modifications have been made.
The Department of Labor is increasing audits and penalties assessed to employers for non-compliance of these documentation requirements. Civil and Criminal penalties can apply for some common ERISA errors.
Sample 2020 Penalties:
Employers should be wary of fees for not distributing the Affordable Care Act (ACA) Summary of Benefits Coverage (SBC) which in 2020 were $1156.00 per failure.
The Difference Card can help you and your clients stay in compliance. We provide all our administrative clients unlimited plan documents, amendments, restatements, and non-discrimination testing. All compliance services are fully included to help our clients protect themselves from penalties and fees.
No problem: reach out to email@example.com for a plan document today. Get an affordable, guaranteed document in less than 10 days.
Please fill the fields below to download resources.