Greetings!
I hope you enjoyed the holiday season and you are your loved ones are remaining healthy during this time. I am hopeful for the year ahead and wanted to share some updates that may be helpful to you and your team.
2021 - ARE YOUR POSTERS UP TO DATE?

2021 holds a host of labor compliance updates, in fact we anticipate over 30 at the state and federal level and another 30 updates at the city/county level. Most of the updates reflect changes to minimum wage as a result of annual increases to reflect changes to the CPI (Consumer Price Index). Other updates include things such as updates to Paid Sick Leave Laws and clarifications to Discrimination laws, particularly in the areas or pregnancy protection.

Many of our clients use LaborLawCenter to purchase their all-in-one posters (State, Federal & OSHA). Digital copies available as well.
FFCRA UPDATE

The “mandatory” aspect of the FFCRA expired as of December 31, 2020. Employers now have the option between January 1 through March 31, 2021, to elect to allow employees to take paid time under the exact same terms as before. Employers may take the tax credit for Q1-2021 for any paid leave offered during that quarter. The new Act extended the tax credit availability; it did not extend the FFCRA itself.

Based on the language in the Consolidated Appropriations Act, there is no additional paid time off provided; if someone used up all their allowed FFCRA time in 2020, there is not a provision for granting more time in 2021. It is possible that Congress could amend the CAA later, but this is the directive at present.

Bear in mind that employers should either fully continue to offer FFCRA time, or fully decline to offer it. Saying you will allow FFCRA time for ‘this’ but deny it for ‘that’ would not be a good practice. If you have other questions regarding the CAA or the revisions to the FFCRA, please contact us at 833.685.8400 x1.
FSA Update

The federal government has further relaxed rules affecting health and dependent care flexible spending accounts (FSAs) in the latest COVID-19 relief package (known as the COVID Relief Bill) signed into law on December 28. These temporary rules expand on the prior temporary FSA and DCA benefit rule extensions offered in May, now offering the following changes:
 
  • Health and Dependent Care FSAs can allow participants with unused amounts from a plan year ending in 2020 to carry over those amounts to 2021, and unused funds from a plan year ending in 2021 can carry over to 2022. This means participants are no longer limited to $550.
  • Employers may extend grace periods for plan years ending in 2021 or 2022 to 12 months after the end of the plan year. Previously, the limit was 75 days.
  • Dependent Care FSAs may raise the maximum eligible dependent age from 13 to 14 for dependents who aged out of eligibility in 2020. Employees with unused balances for that plan year can apply this rule to reimbursement claims of unused balances in the following plan year. 
KLPC-TV

The Federal Bureau of Investigation (FBI), Department of Health and Human Services Office of Inspector General (HHS-OIG), and Centers for Medicare & Medicaid Services (CMS) are warning the public about several new fraud schemes related to COVID-19 vaccines. Authorities have received complaints of scammers using people’s interest in COVID-19 vaccines to get personally identifiable information (PII) and money through various scams. 
The ACA 1094/1095 Filing
Season Is Here!

Employers with 50 or more FTE must file.

  • January 31, 2020: Companies need to distribute the 1095 tax forms to the employees
  • February 29, 2020: Paper Filing to IRS
  • March 31, 2020: E-File to IRS

Let me know if you need assistance! Our partners make it easy for you to provide comprehensive compliance support.
Jennifer McKenzie
Archway Benefits
www.archwaybenefits.com