• IRS Releases Additional Guidance on Form W-4 Compliance for 2018

    Release of 2018 Form W-4 Forthcoming

    The Internal Revenue Service (IRS) has released additional guidance on Form W-4 compliance in response to the enactment of the Tax Cuts and Jobs Act, which was signed into law by President Trump in December 2017. Highlights of the guidance are as follows:

    • While the IRS is currently working to revise Form W-4 to reflect changes made by the Tax Cuts and Jobs Act, the 2018 Form W-4 may not be released until after February 15, 2018. However, the agency designed the 2018 withholding tables in IRS Notice 1036 to work with the Forms W-4 that employees have already furnished their employers.
    • New hires may continue to claim allowances by using the 2017 Form W-4 until 30 days after the 2018 Form W-4 is released.
    • Employees experiencing a change in status that causes a reduction in the number of withholding allowances are not required to furnish employers new withholding allowance certificates until 30 days after the 2018 Form W-4 is released.
    • Employees who have a reduction in the number of withholding allowances solely due to the changes made by the Tax Cuts and Jobs Act are not required to furnish employers new withholding allowance certificates during 2018.
    • Employees may update their withholding at any time in response to the Tax Cuts and Jobs Act. Employees who choose to update their withholding may use the 2017 Form W-4 instead of the 2018 Form W-4 to report changes in withholding allowances until 30 days after the 2018 Form W-4 is released.

    Click here to read the additional guidance in its entirety.

    For additional tax information, please visit our section on Employer Tax Laws.

     

    HR News Alerts provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2018 HR 360, Inc., All rights reserved.

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  • Medicare Part D Disclosure to CMS Due March 1, 2018 for Calendar Year Plans

    Online Form for Employers Offering Prescription Drug Coverage to Medicare Part D-Eligible Individuals

    The Medicare Modernization Act requires employers that provide prescription drug coverage to Medicare-eligible individuals to complete the Online Disclosure Form to the U.S. Centers for Medicare & Medicaid Services (CMS) to report whether such coverage is creditable prescription drug coverage. Creditable coverage means that the coverage is expected to pay, on average, as much as the standard Medicare prescription drug coverage.

    This disclosure is required annually, no later than 60 days from the beginning of a plan year-typically March 1st for calendar year plans-and at certain other times.

    Additional Disclosure Requirements
    Under the law, employers whose group health plans offer prescription drug coverage also must provide a written notice to all Medicare-eligible individuals disclosing whether such coverage is creditable. This disclosure must be provided annually prior to October 15th, and at various other times as required under the law. Click here for more information.

    Visit our section on Medicare for more information about how the law affects employer-provided group health plans.

    To access your HR library, please visit www.HR360.com/login.

     


    HR News Alerts provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2018 HR 360, Inc., All rights reserved.

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  • ‘Cadillac Tax’ Delayed Until 2022

    Tax Previously Set to Become Effective in 2020

    President Trump has signed the Extension of Continuing Appropriations Act, which (among other things) delays implementation of the “Cadillac Tax,” the Affordable Care Act’s excise tax on high-cost employer-sponsored health coverage, until 2022. Previously, this tax-which would impose a 40% tax on plans that cost more than $10,200 (for self-only coverage) and $27,500 (for family coverage)-was set to become effective in 2020.

    Please visit our Cadillac Tax page for more information.

    To access your HR library, please visit www.HR360.com/login.


    Health Care Reform Updates provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2018 HR 360, Inc., All rights reserved.

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  • Team Nash Insurance Awarded Spot In The Elite Circle of Champions

    “Your strong performance enrolling individuals and families in Marketplace coverage has earned you a spot in the HealthCare.gov Elite Circle of Champions for 2018. Thank you for the outstanding work you have done to help your clients weigh their coverage options and enroll in coverage that meets their needs.”

    Sincerely,

    Randy Pate
    Director, Center for Consumer Information & Insurance Oversight Deputy Administrator, Centers for Medicare & Medicaid Services

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  • IRS Releases New Income Tax Withholding Tables

    Tables Must be Used No Later Than Feb. 15

    The Internal Revenue Service (IRS) has released Notice 1036, Early Release Copies of the 2018 Percentage Method Tables for Income Tax Withholding. The notice updates the income-tax withholding tables for 2018, reflecting changes made by the Tax Cuts and Jobs Act. Highlights of the notice include the following:

    • Early release copies of the percentage method tables for income-tax withholding that will appear in Publication 15 (Circular E), Employer’s Tax Guide
    • Social Security and Medicare tax rates for 2018
    • Additional Medicare Tax withholding rates

    Employers should begin using the 2018 withholding tables as soon as possible, but not later than February 15, 2018. The new withholding tables are designed to work with the Forms W-4 that workers have already filed with their employers.

    To help taxpayers determine their withholding, the IRS is also revising the withholding tax calculator on IRS.gov. The agency anticipates this revised calculator to be available by the end of February. Taxpayers are encouraged to use the calculator to adjust their withholding once it is released.

    Click here to read IRS Notice 1036. An IRS press release is also available for review.

    For additional tax information, please visit our section on Employer Tax Laws.


    HR News Alerts provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2018 HR 360, Inc., All rights reserved.

    Read more
  • DOL Proposal Encourages Creation of Association Health Plans

    Rule Would Permit Associations Based on Industry or Geography

    The U.S. Department of Labor (DOL) has issued a proposed rule which would allow employers to join together as a single group to offer group health insurance coverage to current employees, former employees, working owners, and their family members as part of an “association health plan.” If finalized, the rule would allow association health plans to be formed on the basis of industry or geography, such as by state, city, county, or metropolitan area.

    Notably, the proposed rule would subject association health plans to the nondiscrimination rules currently applicable to large group coverage under the Health Insurance Portability and Accountability Act (HIPAA), as amended by the Affordable Care Act (ACA). These rules prohibit discrimination based on a health factor or within groups of similarly situated individuals, but do generally permit plans to impose different eligibility provisions and costs based on bona-fide employment-based classifications, such as full-time versus part-time status.

    Click here to read the proposed rule in its entirety.

    For more on the nondiscrimination rules applicable to group health plans, check out our Health Insurance Nondiscrimination Rules page.

    To access your HR library, please visit www.HR360.com/login.


    Health Care Reform Updates provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2017 HR 360, Inc., All rights reserved.

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  • New Tax Law Repeals Individual Mandate, Eliminates Tax Breaks for Several Fringe Benefits

    President Trump has signed into law the Tax Cuts and Jobs Act, which, among other things, effectively repeals the Affordable Care Act’s individual mandate beginning in 2019, eliminates tax breaks for several fringe benefits, and creates a new tax credit for employers offering paid family and medical leave.

    Individual Mandate Repeal Effective in 2019
    Under the Affordable Care Act, individuals are currently required to have minimum essential health coverage, qualify for an exemption from the requirement, or pay a penalty tax. This ACA provision is known as the “individual mandate.” Effective in 2019, the individual mandate is effectively repealed, as the penalty tax for noncompliance with the mandate will be reduced to $0.

    Tax Breaks for Several Fringe Benefits Eliminated
    Effective in 2018, the tax treatment of certain fringe benefits will be impacted as follows:

    • Employer contributions to an employee’s qualified transportation fringe benefits (including those for employees’ transit passes and parking) will no longer be deductible from the employer’s gross income.
    • Qualified moving expense reimbursements made by an employer will generally no longer be excludable from an employee’s gross income.
    • Qualified bicycle commuting reimbursements made by an employer will no longer be excludable from an employee’s gross income.
    New Employer Tax Credit for Paid Family and Medical Leave
    For tax years 2018 and 2019, employers that offer paid family and medical leave (as defined under the federal Family and Medical Leave Act [FMLA]) to employees may qualify for a newly established tax credit of up to 25% of the annual wages paid to those employees.To learn more about the tax consequences of various employer-provided benefits, visit our Employee Benefits section.

    Please Note: The content herein is provided for general information purposes only, and does not constitute legal, tax, or other advice or opinion on any matters. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy.
    Copyright © 2017 HR 360, Inc. All rights reserved.
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  • IRS Announces 2018 Standard Mileage Rates

    Optional Rates Are Increased From 2017

    The Internal Revenue Service (IRS) has issued the 2018 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes.

    2018 Standard Mileage Rates
    Beginning on January 1, 2018, the standard mileage rates for the use of a car (also vans, pickups, or panel trucks) will be:

    • 54.5 cents per mile for business miles driven (up 1 cent from 2017)
    • 18 cents per mile driven for medical or moving purposes (up 1 cent from 2017)
    • 14 cents per mile driven in service of charitable organizations (unchanged from 2017)

    Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.

    Limitations on Use of Standard Mileage Rates
    A taxpayer may not use the business standard mileage rate for a vehicle after using any depreciation method under the Modified Accelerated Cost Recovery System or after claiming a Section 179 deduction for that vehicle. In addition, the business standard mileage rate cannot be used for more than four vehicles used simultaneously.

    IRS Notice 2018-03 contains additional information about mileage rates.

    For more on employer-provided transportation benefits, please see our section on Fringe Benefits.

    To access your HR library, please visit www.HR360.com/login.

    HR News Alerts provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2017 HR 360, Inc., All rights reserved.

    Read more
  • Lower Taxable Maximum Takes Effect in January

    The Social Security Administration (SSA) this week announced a change to the maximum amount of earnings subject to the Social Security tax (taxable maximum) in 2018, which it had previously announced in October. The new amount for 2018 is $128,400, up from $127,200 in 2017, and takes effect in January.

    SSA’s October announcement had set the 2018 taxable maximum at $128,700. The agency attributed the change to corrected W-2s provided to SSA in late October.

    Click here to read the SSA announcement in its entirety.

    To learn more about Social Security benefits, please visit our section on Social Security.

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  • ‘Saver’s Credit’ Helps Workers Save for Retirement

    End-of-Year Deadline Applies to Employer-Sponsored Plans

    The IRS is reminding workers that contributions to employer-sponsored IRAs, 401(k) plans, 403(b) plans, or similar workplace retirement programs must be made by year’s end to qualify for the Retirement Savings Contributions Credit.

    Also known as the “Saver’s Credit,” this special tax break for low- and moderate-income workers helps offset part of the first $2,000 workers contribute to the plans. The saver’s credit can be claimed for tax year 2017 by:

    • Married couples filing jointly with incomes up to $62,000;
    • Heads of household with incomes up to $46,500; and
    • Married individuals filing separately and singles with incomes up to $31,000.

    However, contributions (elective deferrals) to an employer-sponsored plan must be made by the end of December to qualify for the credit.

    Click here to read the IRS reminder in its entirety.

    For additional information on 401(k) plans, please see our Retirement Plans section.

    HR News Alerts provided by:

    Team Nash
    2005 E 2700 St, Suite 140, Salt Lake City, UT 84109
    385-234-6754

    Please Note: The information and materials herein are provided for general information purposes only and are not intended to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified attorney, plan provider or other professional advisor. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy. In accordance with IRS Circular 230, this communication is not intended or written to be used, and cannot be used as or considered a ‘covered opinion’ or other written tax advice and should not be relied upon for any purpose other than its intended purpose.

    The information provided herein is intended solely for the use of our clients and members. You may not display, reproduce, copy, modify, license, sell or disseminate in any manner any information included herein, without the express permission of the Publisher. Kindly read our Terms of Use and respect our Copyright.

    Copyright © 2017 HR 360, Inc., All rights reserved.

    Read more