Overview: Benefits administration involves establishing, maintaining and managing the full spectrum of employee benefit programs for an organization. More than just ensuring compliance, benefits administration is also concerned with making sure employees understand how their benefits work and what requirements must be satisfied in order to be eligible to participate.
From an operational standpoint, some major functions of benefits administration include: (i) ensuring the legal compliance and overall effectiveness of an organization's benefits program including health, welfare and retirement plans; (ii) negotiating with vendors and recommending benefit plans that align with organizational goals; (iii) communicating benefit plan options to both new and existing employees; (iv) processing additions and terminations to benefit plans in a timely manner; (v) verifying bills and making accurate and timely payments to insurance providers; (vi) making sure payroll deductions are in place for employee contributions to benefit plans; and (vii) ensuring employer contributions are done in a timely manner.
Benefits administration involves balancing the needs of both the employee and the employer. It is important to have programs in place that support the employee that are in line with what an employer can afford.
Trends: The newer requirements of the Patient Protection and Affordable Care Act (ACA), commonly referred to as Health Care Reform or Obamacare, in addition to the repeal of section 3 of the federal Defense of Marriage Act and the legalization of same-sex marriage in numerous states, will challenge HR professionals in both the short- and long-term as they monitor developments and adjust benefit strategies accordingly.
Author: Tracy Morley, SPHR, Legal Editor
On June 26, 2015, the Supreme Court ruled in Obergefell v. Hodges that the Constitution requires all 50 states and the District of Columbia to license same-sex marriages and to recognize such marriages that are lawfully licensed and performed out of state.
In-depth review of the spectrum of Ohio employment law requirements HR must follow with respect to taxation of employee benefits.
North Dakota does not recognize same-sex marriage, civil unions and domestic partnerships. The value of health benefits provided to an employee's same-sex spouse or partner is taxable.
In-depth review of the spectrum of Kansas employment law requirements HR must follow with respect to taxation of employee benefits.
An employer may use this policy to communicate when an employee may take a personal leave of absence and what types of documentation and notice the employee needs to provide the employer.
In-depth review of the spectrum of Connecticut employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Georgia employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Alabama employment law requirements HR must follow with respect to taxation of employee benefits.
This section helps HR professionals comply with the complex regulatory requirements governing employee benefit plan administration.
This section assists HR professionals plan and design benefit plans that are cost-effective, competitive and aligned with an employer's business strategy.
HR guidance on effective benefit plan administration.