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
The IRS has announced the 2016 annual cost-of-living adjustments made to several employee benefits and taxable amounts, based on changes to the Consumer Price Index. These are the maximum amounts that may be excluded in 2016 from an employee's taxable income for specific benefits.
XpertHR's innovative Liveflo Tool now includes a workflow to help an employer determine ACA reporting obligations.
Use this workflow to determine which entity is responsible for complying with Internal Revenue Code (IRC) Section 6055 and Section 6056 reporting requirements.
This section helps HR professionals understand best practices and trends in managing employees in special situations, and tackles workplace issues regarding workplace flexibility, including part-time employment, job sharing and telecommuting. The section also addresses challenges in managing and motivating a multigenerational workforce, workers with caregiving responsibilities and remote workers.
This Quick Reference chart summarizes federal and state laws regarding whether same-sex marriages, civil unions and/or domestic partnerships are recognized, and whether the value of benefits provided by an employer to an employee's same-sex spouse or civil union or domestic partner is taxable. This chart will be updated when any changes in these laws occur.
In-depth review of the spectrum of West Virginia employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Iowa employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Vermont employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Rhode Island employment law requirements HR must follow with respect to taxation of employee benefits.
In-depth review of the spectrum of Pennsylvania employment law requirements HR must follow in respect to taxation of employee benefits
HR guidance on effective benefit plan administration.