Blog Archives

5 Must-Have Forms and Records for New Hires

7/21/2016

As an employer, one of your most important responsibilities when hiring new employees is to complete and secure necessary forms and records. The following are key requirements under federal law:

Form I-9: Federal law requires employers to verify that each new employee is legally eligible to work in the United States. Within 3 business days of the date employment begins, employers must complete and sign Section 2 ofForm I-9, Employment Eligibility Verification, using original documents presented by the employee that show his or her identity and authorization to work in the U.S.
Employee's Social Security Number (SSN): Employers are required to get each employee's name and SSN for purposes of completing year-end Forms W-2. After an employee is hired, the employer should ask to see his or her social security card and record the new employee's name and SSN from the card. Any employee without a social security card should apply for one.
Form W-4: To know how much income tax to withhold from employees' wages, employers should have a Form W-4, Employee's Withholding Allowance Certificate, on file for each employee. Ask all new employees to give you a signed Form W-4 when they start work, and make the form effective with the first wage payment.
New Hire Reporting: Federal law requires that employers report any new employee to a designated state new hire registry within 20 days (or shorter, depending on the state) of the date of hire. Many states accept a copy of Form W-4 with employer information added. The federal government maintains a list of links to state agencies where employers can learn more about reporting new hires and the specific requirements they must meet.
Notice of Coverage Options (Exchange Notice): Employers are required to provide each new employee a written notice with information about a Health Insurance Exchange at the time of hiring, within 14 days of the employee's start date. Model language is available from the U.S. Department of Labor.

Keep in mind that many states require additional forms and other records to be completed when a new employee begins work. Certain states and localities may also require employers to provide specific notices to newly hired employees.

0 Comments

5 Must-Have Forms and Records for New Hires

7/21/2016

0 Comments

PCORI Fees Due by August 1st for Employers Sponsoring HRAs and Other Self-Insured Plans

7/14/2016

0 Comments

As a reminder, fees to fund the Patient-Centered Outcomes Research Institute (PCORI) are due no later than August 1, 2016 from employers who sponsor certain self-insured health plans, including health reimbursement arrangements (HRAs) that are not treated as excepted benefits. Under Health Care Reform, PCORI fees are imposed for each plan year ending on or after October 1, 2012, and before October 1, 2019.

How to Calculate the Fee
For plan years ending on or after October 1, 2015 and before October 1, 2016, the fee for an employer sponsoring anapplicable self-insured plan is $2.17 ($2.08 for plan years ending on or after October 1, 2014 and before October 1, 2015) multiplied by the average number of lives covered under the plan.

Permissible methods for determining the average number of lives covered under a plan are explained in IRS guidance.

Reporting and Payment Deadline
In general, plan sponsors of applicable self-insured health plans are required to report and pay the fee no later than July 31st of the calendar year immediately following the last day of the plan year to which the fee applies. However, because July 31st falls on a Sunday this year, the due date is August 1, 2016. Fees are reported and paid using IRS Form 720, Quarterly Federal Excise Tax Return.

0 Comments

5 Must-Have Forms and Records for New Hires

5 Must-Have Forms and Records for New Hires

PCORI Fees Due by August 1st for Employers Sponsoring HRAs and Other Self-Insured Plans

Small Business blog

Archives

Categories