If you are a small business (less than 50 full-time employees or full-time equivalents) and have tried to do the right thing by reimbursing employees for individual health insurance policies, paying a stipend or pay their health costs directly in lieu of providing health insurance, think again.
According to the Internal Revenue Service regulation, Section 4980D, these types of arrangements are considered employer payment plans which do not satisfy the market reforms under the Affordable Care Act (ACA). As a result, you could end up paying $100/day excise tax per applicable employee ($36,500 per employee, per year).
I have been in the human resources field for over 25 years and I have learned one thing...you cannot plan for everything. One of those things you cannot plan for is an accident or injury. And, unfortunately, we do have accidents, myself included.
After multiple surgeries on my leg and ankle resulting from a break that went wrong, I realized I am human. I also realized I needed disability insurance for myself and my staff, because during my career I have seen many employees diagnosed with conditions which will physically restrict them from performing their duties.
While I am not an insurance agent, I can tell you that I believe disability insurance is very important protection for both parties in an employment relationship. First, employers should offer disability insurance to protect their employees when that inevitable accident occurs. Second, if the employer offers disability insurance, the employees should take advantage of it for the very same reason.
I found an article online that emphasizes statistically why we need to have disability insurance. Below is the article reprinted. I hope you enjoy it.
Panicked calls and emails are coming in to Creative Business Solutions regarding the new overtime rule proposed by the Obama administration. Bottom line: is it good or bad? the answer depends on your company's numbers. How many in your employee base are in an exempt (salaried) status? How many are making less than $50,400 per year? Once you see these numbers, and calculate the probability of additional overtime compensation you will be providing, you may have a positive or negative opinion of this proposed rule. Below are two links with more information:
I have had the privilege of working for two Hall of Fame Coaches from my athletic high school career. How many people can claim this? On the right is Errol Logue, my track coach from way back in the day. On the left is Coach Julie Slater, my volleyball coach. Coach Logue was recently inducted into the Kansas State High School Activities Association Hall of Fame, and Coach Slater was recently inducted into the Kansas Volleyball Association Hall of Fame. I took the day off a few weeks ago to offer my congratulations and thanks to both of them. Without them, I would be a completely different person.
What do you know about the pre-hire assessments available to your organization to aid in hiring the right applicant? A recent article in "The Wall Street Journal" (April 15, 2015) stated that between 2001 and 2013 the number of U.S. large employers using pre-hire assessments increased from 26% to 57%. If you are not using pre-hire assessments as a regular part of your hiring process, you should be.
A pre-hire assessment is an online assessment tool designed to best match an applicant's thinking style and behavioral traits to those required for optimal performance in the position. To effectively use a pre-hire assessment you must first analyze the position you are hiring for. What does the position profile look like? What thinking style and behavioral traits are best suited for the position? Using pre-hire assessments to effectively match the traits required in the position to the traits of the applicant has been proven to significantly decrease the turnover rate and increase job performance and productivity.