Recent News

With an unlimited number of sources publishing HR related news it can be difficult to keep the facts straight. BASIC strives to deliver simple, easy-to-understand, and timely industry news/updates. From legal advice, regulation updates, and interesting interactive resources – we have you covered!


 Recent News



Paying Employees to Buy Health Coverage? Know the Ground Rules

December 22nd, 2014

Does your company’s health insurance plan include health reimbursement arrangements (HRAs) or flexible spending accounts (FSAs)? If so, you should know these plan components are both subject to the Affordable Care Act (ACA) and its “market reform” provisions. The Department of Labor and other principal agencies have issued another round of guidance1 to answer some

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IRS Standard Mileage Reimbursement Rate Increases

December 18th, 2014

The Internal Revenue Service has issued its 2015 optional standard mileage rates. Effective January 1st, 2015, the IRS standard rate will be 57.5 cents per mile driven for business purposes (an increase of one-and-a-half cents from the 2014 rate of 56 cents per mile). Use of this rate is optional, though it is widely seen

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Upcoming Healthcare Reform Requirements

December 10th, 2014

Be aware of upcoming Healthcare Reform requirements that impact FSA plans that have employer contributions. 1.   2014 Form W-2 reporting requirement for healthcare benefits:  Employers that prepared 250 or more W-2s for tax year 2013 will be required to report the total cost of any group health plan coverage that was provided to an employee. 

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Compliance Questions – Cash Out Option

December 1st, 2014

Provided by Larry Grudzien Q. Each year, my client gives its employees a choice of health coverage or a cash payment of $3,000. If my client does not adopt a cafeteria plan, will any portion of the health coverage elected by the employee be taxable?   A. Yes. An employee will be taxed up to

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Court Approves Non-Traditional Work Week for Overtime Pay

November 26th, 2014

Federal overtime pay standards under the Fair Labor Standards Act (FLSA) are strict, but that doesn’t mean employers can’t be flexible in scheduling workdays, even if it trims overtime wages. In a recent case, the Fifth Circuit Court of Appeals affirmed a lower court ruling in determining that a Texas-based environmental solutions firm did not

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Failure to Recognize FMLA: A Common Employer Mistake

November 26th, 2014

A common misconception among HR managers of small-to-midsize employers is the assumption that they only have a “few Family Medical Leave (FMLA) events occur per year.” Failure to recognize FMLA is a growing concern among companies ranging in size from 50 to 250 employees. The complexities of administering FMLA, along with the ever-changing regulations and

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What’s the Outlook for the Expired Tax Breaks?

November 21st, 2014

Year end tax planning for 2014 is particularly challenging because Congress has yet to act on a host of tax breaks that expired at the end of 2013. It is uncertain at this time whether the expired provisions will be extended by Congress on a permanent or temporary basis — and whether any such extension

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Clarified Again, Individual Premium Reimbursement is Not Allowed

November 21st, 2014

The new ACA FAQ XXII Compliance of Premium Reimbursement Arrangements(FAQ XXII), published November 6, 2014, confirms that employers cannot reimburse employees on a pre-tax or after-tax basis for purchasing individual coverage in lieu of group health plan coverage as promoted by various vendors, TPAs and others. FAQ XXII makes it clear that the Affordable Care

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Healthcare Reform Questions: 50-99 employee transitional relief

November 18th, 2014

Question:  One of my clients has 75 employees and has never offered health coverage to its employees and it does not plan do so in the future.  When would it have to comply with the employer mandate, 2015 or 2016? Answer:  January 1, 2016  For employers eligible for the transition relief described below, no subsection (a)

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FAQs regarding implementation of the Affordable Care Act

November 10th, 2014

Set out below are additional Frequently Asked Questions (FAQs) regarding implementation of the Affordable Care Act. These FAQs have been prepared jointly by the Departments of Labor (DOL), Health and Human Services (HHS), and the Treasury (collectively, the Departments). Like previously issued FAQs (available at http://www.dol.gov/ebsa/healthreform/ and http://www.cms.gov/cciio/resources/fact-sheets-and-faqs/index.html), these FAQs answer questions from stakeholders to

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