| Issue: # 29 |
February 4, 2009 |
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Dear :
Many of our clients have found these newsletters to be quite helpful and access archived newsletters on our website quite often. If you know anyone who may find this information of interest, please forward them this newsletter (there is a link on the bottom), and they can subscribe themselves. We would appreciate the referral.
Sincerely,
Bill Randell, CLU, CHFC Vanessa Costa, CLU,CHFC
Advantage Benefits Group, Inc.
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HIRD Filing Deadline February 15th
Final Reminder - File Today
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The Commonwealth of Massachusetts has increased the required frequency for Health Insurance Responsibility Disclosure (HIRD) and employers' Fair Share Contribution (FSC) filings. This mandated increase will become effective as of January 1, 2009. Employers will now be required to file an Employer Health Insurance Responsibility Disclosure (Employer HIRD) and to pay all required FSC assessments on a quarterly basis instead of an annual basis.
In previous years, the only Employer HIRD filing deadline for Massachusetts employers was November 15 following the close of the applicable fiscal year. The FSC fiscal year runs from October 1-September 30. The first quarterly FSC filing for 2009 is due February 15. It will cover the period of time from October 1, 2008 through December 31, 2008. Future filing frequency will be determined by the Division based on the results of this first quarter filing. Employers will be notified if subsequent quarterly filings are required, or if an annual filing will be sufficient.
To access the on-line filing click here. The last day for filing is 2/15/09. |
| 11 or More Full-time Employees or Equivalents
How do you calculate |
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Only employers with 11 or more full-time employees, or part-time equivalents, are required to file. The Commonwealth considers one full-time employee to work 2,000 hours so 11 or more full-time employees, or part-time equivalents, would work equate to 22,000 hours.
Here are a couple of examples:
Example: A small machine shop with 6 employees and a total of 23,000 hours for the 12 month period. This employer would NOT be subject to the requirements of the new law, since their answer to Question 1 would be 12,000 hours
Example: You have a 1 full-time employee but 50 part-timers, whose total exceeds 22,000. You would need to file.
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| Ask Beth
Q & A
Question: I have an employee that has been out on disability for a few weeks. During his leave, the company has had a major lay-off that would include him. Can he be laid off while on disability and terminated from our health insurance along with the other employees?
Answer: The answer is yes to both parts of the question. If the employee would have been part of the lay off anyway, you can go ahead and include him, eventhough he is on disability. You should, however, make sure that there is no question that he would have been included in the lay off, had he still been actively working. You do not want to leave yourself open to a claim of discrimination from the employee's point of view. If his entire department or shift was laid off, it is safe to assume he would have been, also.
As far as the health insurance, he should receive the same offer of electing coverage under COBRA that all of the other employees receive.
ANY QUESTIONS FOR BETH? SEND HER AN E-MAIL.
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