The owners of a concrete company in California have been charged with 15 felony charges of payroll tax evasion and workers' compensation insurance fraud. The charges are based on allegations that the company intentionally under reported wages by disguising the funds as payments made to independent contractors. This, in turn, illegally reduced the company's state payroll tax and workers' compensation expenses. If found guilty, the company would owe $230,000 in back taxes.
Without proper payroll policies, companies like this one face costly legal actions. The human resources consultants at Management 2000, a Professional Employer Organization, help employers avoid these problems. Whether it’s payroll, employee benefits management or human resources administration, Management 2000 provides the HR support employers need to stay compliant and profitable. For more information, call (317) 549-2000 or visit www.management2000.com.
Many employers reimburse their employees for mileage driven in an employee’s personal vehicle for business purposes. For 2010, the business mileage reimbursement rate set by the Internal Revenue Service is 50 cents per mile. Starting Jan. 1, 2011, however, these rates for the use of a car, van, pickup truck, or panel truck will rise to 51 cents per mile. Revenue Procedure 2010-51 contains additional information regarding the standard mileage rates.
Management 2000, an Indiana Professional Employer Organization, provides human resources, benefits and payroll assistance to small and medium size businesses throughout Indiana and across the country. Utilizing their vast array of HR management tools, the HR professionals at Management 2000 are able to provide effective HR strategies and support to client companies. Whether it’s current mileage rates, human resource issues, employee benefits administration or payroll processing, Management 2000 can help. For more information call (317) 549-2000 or visit www.management2000.com.
• Payroll and employee benefits administration. Management 2000’s employee benefits advisors can make sure companies comply with employment laws regulating payroll and benefits, such as the Fair Labor Standards Act and the Employee Retirement Income Security Act.
• Recruiting and retention. The HR professionals at Management 2000 can manage recruiting and retention efforts to ensure success as well as compliance with federal, state and local laws.
• Policy development. Management 2000 can develop the human resource policies and procedures needed for internal control and guidance, again in compliance with employment laws prohibiting discriminatory labor practices.
• Recordkeeping and compliance. Management 2000 can help make sure companies comply with employee record retention requirements.
For more information about the many ways Management 2000 can help your company, call (317) 549-2000 or visit www.management2000.com.
Reinforcing positive safety behavior can have enormous impact on your safety program. Instead of always focusing on the problems, focus also on the accomplishments. Identify milestones that deserve recognition and celebrate these with your workers when a milestone has been reached. Any leader who focuses on these factors will raise her level of credibility with her team and enjoy the benefits of a positive work culture.
Your Human Resource Professionals can guide you and your employees through HR Best Practices and HR Procedures to encourage this positive behavior. With HR Management Training and the proper HR Strategy's your company will be able to overcome negative behavior and support a program that shows HR Best Practices and HR Support. It is very important that you include Human Resource Management Services and the use of Human Resource Policies.
As Employers look ahead to 2011 plan years, they're raising questions to understand the affect health-care reform will have on current and future employee benefits plans. What changes, if any, apply to our group plan? Do I have to may all changes now? Is our plan Grandfathered; if so, does that mean I can disregard the September 23, 2010 changes?
To answer the first question Patient Protection and Affordable Care Act (PPACA) applies to 'group health plans'. But that does not mean 'every' group health plan. PPACA applies to:
Major Medical plans, Mini-Med plans, Executive Medical Expense Reimbursement Plans, Government Medical Plans, and some Health Flexible Spending Arrangements.
Changes that become effective September 23, 2010 are as follows:
- Coverage of older children (Grandfathered plans prior to 2014 do not have to offer coverage to older children if child is eligible to enroll in an employer-sponsored plan).
- New Appeals Process / External Review (does not apply to Grandfathered plans).
- Any Available Primary Care Provider / Pediatrician (does not apply to Grandfathered plans).
- Coverage of Emergency Services (does not apply to Grandfathered plans).
- Access to Ob/GYN Care (does not apply to Grandfathered plans).
- Limits on Pre-existing Conditions Exclusions (under age 19).
- No Lifetime Limits on Essential Health Benefits.
- Restricted Annual Limits on Essential Health Benefits.
- No Rescission.
- Preventive Health Coverage (does not apply to Grandfathered plans).
For a more in-depth understanding of these coverages and changes, consult with a Employee Benefit Advisor. Management2000 is a PEO Indianapolis based that offers Strategic Human Resources which includes Employee Benefits Administration. We would welcome the opportunity to provide our expertise.
Many employers are in the midst of planning for 2011. When looking over operating costs, one area of concern is the expense of offering employee benefits insurance. With the continued uncertainty in the economy and the mounting changes from healthcare reform, it can be a lot to consider.
Many employers want to know what changes will cause them to lose "Grandfathered" Status. As outlined in a previous blog, any change in insurance carriers or significant increases to existing plans will compromise your status.
Here are a couple of key elements for any plan that existed March 23, 2010. You will want to make note of the following dis-qualifiers:
- Co-payments. A greater increase of $5 or an increase higher than medical inflation plus 15 percentage points.
- Deductibles. An increase above medical inflation plus 15 percentage points.
- Co-insurance. Any increase in the rate after March 23, 2010.
- Out-of-Pocket Limit. An increase above medical inflation plus 15 percentage points.
- Annual Limit. Any decreases in annual limit that was in place on March 23, 2010 or adoption of one that did not exist at that time. Exception is if lifetime limits may be replaced with a annual one.
- Employer Contributions. A decrease of more than 5 percentage points below the existing employer rate.
For an in-depth list see the interim final rule on grandfathered plans. To ensure that you maintain compliance with existing and future regulations, consider employing the services of a Small Business PEO. Management 2000 provides Human Resources Outsourcing Service and Employee Benefits Administration. We will welcome the opportunity to manage your employee benefits, so you can run a business.
The economic downturn has driven employers' unemployment insurance costs to record levels. The good news is that employers can control these costs by maintaining sound HR procedures. This includes an effective selection process to avoid hiring poor performers or bad matches who often become ex-employees entitled to unemployment benefits.
Management 2000, a Professional Employer Organization in Indiana, has the HR professionals who can help employers minimize unemployment costs. With extensive knowledge and HR management tools, Management 2000’s HR Department develops effective hiring and retention strategies for its client companies. Call (317) 549-2000 or visit www.management2000.com for more information.
According to a recent WorldatWork survey, employers plan a 2.5 percent average increase in salary budgets next year, with average raises of up to 0.7 percent projected for low performers, 2.4 percent for middle performers, and 3.7 percent for top performers. Employee compensation is a critical factor in both recruiting and retention strategies. Appropriate pay rates depend on many factors, including industry averages and other benefits offered by a particular employer.
While employers should review compensation on a periodic basis, this is a time consuming task that is often overlooked. Management 2000, an Indiana PEO, can help. Management 2000 has the HR management tools necessary to develop effective compensation packages tailored to individual employers’ needs. For more information about the many human resource management services provided by Management 2000’s HR Department, call (317-549-2000 or visit www.management2000.com.
In a time of much uncertainty surrounding the healthcare reform, according to a
June 14th PricewaterhouseCoopers, 'Behind the Numbers Report', employer costs are estimated to increase around 9%. The good news is this is a drop of 0.5% from 2010 growth rate. What are the primary contributors?
On the encouraging side, there are three areas expected to deflat or hold medical costs:
- Pre-managed care design that increases deductibles and replacing co-pays with co-insurnance.
- Drugs costs cooled by expansion of generic drug portfolio. High volume drugs such as Lipitor patents expire in 2011.
- COBRA costs expected to level off. (side note: Congress has introduced an extension of the subsidy, legislation (S. 3548), that would reinstate through 11/30/2010).
The primary drivers for the inflating costs will be:
- Hospitals and Physicians move costs from Medicare to private payers/employers. This will be the top reason for higher costs.
- Care-provider consolidation. Private practices will decrease while groups emerge.
- 2011 Stimulus funds will launch electronic hospital records implementations to avoid 2015 Medicare penalties. This will be a billion dollar invest in to technology.
Although the primary drivers are out of employers control, your ability to maximize on the deflators is not. If you are a small to medium size employer contact Management 2000, a PEO Indianapolis. Let our team of Employee Benefit Advisors and Human Resource Consultants put in place a benefits plan administration that will ensure your success and control costs.
PricewaterhouseCoopers' report is available at www.pwc.com/us/medicalcosts2011.
The Department of Labor’s Wage and Hour Division has issued a new interpretation of compensable time for workers changing into or out of protective clothing. This changes the prior interpretation that time employees spend donning and doffing protective clothing was not compensable under the Fair Labor Standards Act. Accordingly, employers must now compensate non-exempt employees for the time they spend changing into or out of protective clothing or equipment “required by law, by the employer, or the nature of the job.”
Management 2000, a Professional Employer Organization with offices in Indianapolis, Indiana, constantly monitors federal and state laws and regulations related to human resources administration. With this information, the HR professionals at Management 2000 provide the human resources help employers need for compliance. Whether the issue involves payroll, benefits or general HR administration, employers can count on Management 2000 for accurate, timely advice. Contact Management 2000 at (317) 549-2000 or at www.management2000.com for more information.
On June 14,2010, The IRS, U.S. Department of Labor and HHS released guidance on what Grandfathered Plans.
Grandfathered plans are fully-insured or self-funded health plans that existed on March 23,2010. Many within the Benefits Community were waiting for guidance to how what changes, if any, could be made without compromising their status. The interim final regulations are clear that any change to the following areas put your plan at risk:
- Significant reduction in benefits
- Increase in coinsurance
- Increase in copay
- Increase to deductibles and out-of-pocket limits
- Employer decrease in contribution
- Modification of overall annual limit
- Modifications in fully-insure policy
Management 2000 offers Human Resources Outsourcing Service that includes Employee Benefit Management. Let one of our Employee Benefit Advisor's help you plan for the future. We are a small business PEO with offices in Indianapolis, IN. Contact us today, so we can help guide you and yours business to success and wellness.
Section 1251 of the Patient Protection and Affordable Care Act (PPACA), preserves the ability of consumers to maintain existing coverage by “grandfathering” existing group health or individual plans where individuals were enrolled as of March 23, 2010. In addition, it allows:
- Addition of family members
- Addition of new employees
- Collective bargaining agreements Maintained until last of agreements terminates.
When the insurance reforms become applicable to other plans, grandfathered individual and group plans must also meet the following requirements:
- Issue a standard plan summary with standardized definitions
- Distribute summaries of material modifications 60 days in advance of any material change
- Waiting periods rules
- Restrictions on lifetime
- Annual limits
- Rules on rescission's
- Preexisting conditions
- Coverage for dependent children up to age 26 (2014 when the adult child is not eligible for an employer sponsored plan)
There are many regulatory matters that still need to be locked down based upon the current statutory language of PPACA. One unanswered area is can states make laws governing grandfathered plans without compromising its status.
Management 2000 is a small business PEO with Human Resources Outsourcing service Indianapolis, IN. Put our Employee Medical Benefits Specialist to work for you.
The Departments of Health and Human Services, Labor and Treasury issued the Interim Final Rules for Group Health Plans and Health Insurance Issuers relating to Dependent Coverage of Children to Age 26. This is what you need to know today.
Under the Patient Protection and Affordable Care Act, group health plans that offer dependent coverage for children are required to do so up to the age of 26. Coverage extension applies to plans that begin on or after September 23, 2010. For calendar year plans, the extension must be in place by January 1, 2011.
Along with the change in age, the new law only allows two eligibility requirements:
- Relationship between the participant and child. The definition of ‘child’ is not defined by the regulations. Therefore, plans will continue to define which children will be covered.
- Age of child – mandates coverage until the child attains age 26.
Steps of Action:- Review current plan to determine compliance.
- Communicate with vested parties regarding changes and dates.
- Assess whether plan contribution needs to change (refer to regulations).
- One-time Special Enrollment Notification – 30 day window.
- Amend plan documents.
- Communicate plan changes to participants.
Compliance requirements and guidance from the various government agencies, along with updates from insurance carriers is continuous. Why not consider utilizing the Employee Benefits Management experts of a Small Business PEO to assist. Management 2000 offers PEO Services. Put our Benefits Plan Administration Team to work for you, so you can run a business.
For employers, employee retention and increasing productivity have always been paramount to running a successful business. It became clear as early as 2004, that employee’s work satisfaction is tied in a large part to benefits. More directly, it is benefits linked to their health, work-life balance and financial security.
In 2008, an annual Study of Employee Benefit Trends by MetLife revealed that benefits played a bigger role in employee loyalty than employers realized. In the most recent study (2009), the key message from the study is how to ‘align benefits in a challenging economy.” From the employer standpoint it is cost and employee productivity. For the employee, it’s about financial security and health benefits.
The Study of Employee Benefit Trends: Finds from the National Survey of Employers and Employees, illuminates a surprising link between “benefit programs and employee productivity.” 48% of employers that offered wellness programs reported an increase in employee productivity. Is your Employee Benefits Plan taking you in the right direction?
Management 2000 is a small business PEO that can build an Employee Benefits Plan that slows benefits costs while increasing employee productivity. Contact us today. Whether you are interested in the services of an Employee Benefits Advisor or as comprehensive as Employee Benefits Administration, we are ready to assist you!
Although the economy may be showing signs of improvement, employers remain focused on increasing efficiency and holding down costs. This may include downsizing, eliminating pay raises, and even cutting pay for employees. While these actions can be justified, employers must be careful. Top performing employees still need to be rewarded for their efforts and companies must make sure their compensation is in line with what is being offered in their market. Otherwise, employees might leave and companies can end up spending even more time and money to replace them.
Management 2000, a PEO in Indianapolis, Indiana and Dayton, Ohio helps employers develop an HR strategy to recruit and retain quality employees. From human resource policies, to employee benefits, to payroll services, Management 2000 provides the HR support employers need to be successful.
Using temporary employees or independent contractors can give an employer a flexible way to respond to changing work demands. Temporary employees can be found through temporary staffing agencies or by direct hire, while contractors are usually obtained directly by the company. Whether help is temporary or contract, however, specific rules must be followed in order to comply with a variety of employment, tax and benefits laws.
The HR Department at Management 2000, a PEO with offices in Indiana and Ohio, provides human resources help employers need to develop effective HR procedures and policies. The experienced HR professionals at Management 2000 provide the HR support employers need to develop an HR strategy that addresses temporary or contract help, as well as other human resource issues.
With the rising costs of health-care, small business owners are looking at ways to slash premiums and partake in federal incentives. Have you considered implementing a Wellness program as part of your Employee Benefits Plan?
The Health care reform further embraces and rewards employers that offer Wellness programs to their employees. According to the Cleveland Clinic Foundation there are four key components to successful programs:
Tobacco free- Food choices
- Workplace stress
- Physical activity
Management 2000 is an Indianapolis based Small Business PEO, that can provide Benefits Plan Administration or Employee Benefit Advisory services to your small business.
Contact our Employee Benefits Management Team today, to learn more about starting a wellness program in your workplace.
Payroll errors can be costly. Last month, a petroleum company in New Jersey entered into a settlement agreement under which it will pay $4 million in overtime pay, 
damages, interest, and penalties to more than 700 current and former employees. According to the Department of Labor, the company and its owner failed to pay employees time and one-half the regular hourly rate for time worked in excess of 40 hours a week and failed to keep accurate time and payroll records for approximately seven years.
Employers cannot afford to have ineffective payroll policies. Management 2000, an Indiana PEO, provides payroll services for small businesses as well as HR and employee benefits administration. With help from Management 2000, employers can rest assured that payroll and other human resource issues are properly managed.
More and more employers are moving away from traditional vacation, sick and personal leave policies. Paid Time Off (PTO) policies provide a bank of time employees can use when they must miss work, whatever the reason might be. Fifty-four percent (54%) of employers recently surveyed offer this type of program. Almost three fourths (72%) of these employers also allow employees to carry over unused time to the next year.
Time off with pay is an important component of an employee benefits plan. The HR professionals at Management 2000, a PEO with offices in Indiana and Ohio, provide human resource help to employers who want to design or revise their time off policies. Whether an employer’s HR strategy involves traditional vacation, sick and personal leave policies, or a comprehensive PTO policy, Management 2000’s HR Department can provide the HR support needed to develop an effective time off program.
One way that small business employers compete for talent is to offer comprehensive group health plans with flex benefits. The challenge with these type of employee benefits plans is the cost and complexity of administration. Key components for success are:
- Benefits Plan design
- Employee Benefits Administration
- Payroll Coordination
- Communication
An Indiana HR Company, brings all needed areas of expertise to your business in a cost-effective manner. Already equipped with a human resources benefits system and established practices in the areas of communication across business channels, payroll services and employee benefit administration.
Management 2000 is an Indiana Employee Benefits Company with offices in Indiana an
d Ohio go to
www.management2000.com to learn how we can assist.
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