Retirement, Pension & Benefits

Spencer’s Benefits NetNews – November 17, 2017

  About this Newsletter The Spencer’s Benefits Reports is a summary of the week’s news items posted in the WHAT’S NEW pages of Spencer’s Benefits Reports Online. For questions regarding this email service, contact Customer Service at (800)449-9525. NetNews Subscription Want to receive these Newsletters via E-mail? Sign Up / Unsubscribe hr.cch.com Resources Online Store […]

Fact disputes surrounding employee’s three medical leaves send California leave law claims to jury

Addressing cross motions for summary judgment in a case in which an employee alleged his former employer interfered with his rights under the California Family Rights Act, retaliated against him for taking CFRA leave, and constructively discharged him, a federal court in California found, among other things, fact issues as to whether he was or […]

Lawsuit filed against Trump Administration on exemptions to contraceptive coverage rules

The National Women’s Law Center (NWLC) and Americans United for Separation of Church and State (AU) have filed a complaint against the Trump Administration’s interim final rules that allow employers and universities to cite religious or moral objections in order to be exempt from providing contraceptive coverage. The rules were published in the Federal Register […]

2017-2018 IRS Priority Guidance Plan includes many employee benefits projects

Numerous employee benefits projects are included in the IRS’s 2017-2018 Priority Guidance Plan. The Plan describes areas in which the IRS intends to issue final regulations, proposed regulations, and other guidance, including regularly scheduled guidance, such as interest rates and COLAs. The Plan also includes burden reduction projects. The IRS notes that, as in the […]

San Francisco issues 2018 employer health care spending rates

The City of San Francisco has announced the 2018 rates for its employer health care spending law, whereby employers must either contribute a specified amount toward their employees’ health care costs on a regular basis or pay into a city health care fund for San Francisco residents. Beginning January 1, 2018, the health care expenditure […]

Plan administrator’s interpretation of ambiguous plan terms in calculating pension benefit of disabled participant upheld as reasonable

A plan administrator’s interpretation of ambiguous plan terms in calculating the final average compensation of a disabled employee, resulting in a reduced pension benefit, was not arbitrary and capricious according to the U.S. Court of Appeals in Philadelphia (CA-3). The fact that the plan sponsor funded and administered the plan suggested a conflict of interest, […]

House tax bill would eliminate favorable tax treatment for several fringe benefits

House Republicans on November 2 unveiled their much-anticipated tax reform legislation, the Tax Cuts and Jobs Act (HR 1). The 429-page bill represents the House Ways and Means Committee’s first legislative offer to significantly overhaul the U.S. Tax Code. The measure contains several benefits-related items highlighted below. Dependent care assistance. The value of employer-provided dependent […]

PBGC seeks comments on termination of single-employer plans and missing participants

The Pension Benefit Guaranty Corporation (PBGC) is requesting that the Office of Management and Budget (OMB) extend approval, with modifications, of the collection of information in its regulations on the termination of single-employer plans, missing participants, and implementing forms and instructions. The PBGC is proposing to provide that the plan administrator of a plan terminating […]

IRS provides extensive new guidance on Qualified Small Employer Health Reimbursement Arrangements

The IRS has issued guidance on the requirements for providing a qualified small employer health reimbursement arrangement (QSEHRA), the tax consequences of the arrangement, and the requirements for providing written notice of the arrangement to eligible employees. The guidance covers eligible employers and employees, the “same terms” requirement, the statutory dollar limits, written notice requirement, […]

PBGC increases maximum monthly benefit guarantee for 2018.

The Pension Benefit Guaranty Corporation (PBGC) has announced that the maximum monthly insurance benefit for participants in underfunded pension plans terminating in 2018 is $5,420.45 per month or $65,045 per year for those who retire at age 65. On its website, the PBGC has provided a chart that shows the 2018 monthly maximum benefit guarantees […]