December 2018
Stay Current Newsletter

Art1Financial Assistance for Qualifying Kaiser Members


This month we are sharing information regarding Kaiser's Medical Financial Assistance (MFA) program for low-income or underinsured qualifying members. To learn more about this service, click here.

Art2Coming Soon: Harassment Prevention for Employees & Supervisors

Our sister company, HR Done Right, will be hosting harassment prevention training in the new year. Governor Brown passed SB 1343, which expands the existing requirements for harassment prevention training for California employers. Employers with five or more employees will be required to provide training to all employees by January 1, 2020. Registration for upcoming sessions in Sacramento will be opening soon. Stay tuned for more information!

Art3From the IRS: Extended Deadline for Furnishing (But Not Filing) 2018 ACA Form 1095-B and Form 1095-C

On November 29, 2018, the IRS issued Notice 2018-94, which extends the due date for certain Affordable Care Act (ACA) information reporting requirements for insurers, self-insured plan sponsors and "applicable large employers." The IRS has extended the deadline for furnishing 2018 Form 1095-B and 2018 Form 1095-C to individuals from January 31, 2019 to March 4, 2019. 
Notice 2018-94 does not extend the deadline for filing the 2018 forms with the IRS. The IRS filing deadline remains April 1, 2019 (or February 28, 2019 if not filing electronically). 
Despite the extension, the IRS is encouraging reporting entities to furnish Form 1095-B and 1095-C statements as soon as they are able.

"Good Faith" Compliance Standard Extended to 2018

In addition to extending the due date for furnishing forms to individuals, Notice 2018-94 also extends the "good faith" transition relief from penalties to 2018 reporting. Under the transition relief, employers and other reporting entities will not be penalized for providing incorrect or incomplete information on the 2018 forms if they can demonstrate that they have made good faith efforts to comply with the reporting requirements.

In determining whether a reporting entity reported in "good faith," the IRS will take into account whether the reporting entity made reasonable efforts to prepare for reporting (such as gathering and transmitting the necessary data to an agent to prepare the data for submission to the IRS, or testing its ability to transmit to the IRS). The IRS will also take into account whether the reporting entity is taking steps to ensure that it will be able to comply with the reporting requirements for 2019.

Impact on Individual Taxpayers

The IRS recognizes that taxpayers may not receive their Form 1095-B or Form 1095-C by the time they are ready to file their 2018 income tax returns due to the deadline extension. Like last year, taxpayers do not need to wait to receive their Form 1095-B and/or 1095-C in order to file their tax returns.

Instead, taxpayers may rely on other information received from their employer or insurer in attesting on their tax returns as to whether they had "minimum essential coverage" as required by the so-called individual mandate, or whether they were eligible for a Marketplace subsidy. They do not need to send their Form 1095-B, Form 1095-C or any information they relied upon in completing their 2018 tax return to the IRS, but should keep that information with their tax records.

Art4HR Done Right Blog:  California Minimum Wage Increases - The Impact to Hourly and Exempt Employees

The California minimum wage will reach $15.00 an hour for all employers by January 1, 2023. Until then, Californians will see incremental increases of one dollar per year. Effective January 1, 2019, the minimum wage for employers with 26 or more employees increases to $12.00 per hour and $11.00 per hour for employers with 25 or fewer employees. Even if all your employees make more than minimum wage, there still may be action required. 

Click here to read the   HR Done Right Blog.
Art5Holiday Closure

BDR will be closed Tuesday, December 25 through Friday, December 28 and Monday, December 31-January 1, 2019, in observance of the Christmas and New Year Holiday.

Please refer to our Renewal Reminders  article for helpful tips should questions arise regarding plan changes while our office is closed. In addition, your open enrollment brochure (paper and electronic versions) contains the direct insurance company contact information for further assistance. 

We look forward to working with you in the new year!

See what's happening on our social sites: