health reimbursement plans are gaining popularity with small and medium enterprises as a way for employees individual health insurance to be reimbursed. As such gains Health Reimbursement Software Popularity as a tool for compliance and easy administration
Background information on Health, please visit reimbursement plans :.
Why use health reimbursement Software
two main reasons why employees for individual health insurance to reimburse companies use health reimbursement software ?: 1) time saving / ease of use, 2) tax savings / compliance.
1. Time savings and ease of
Good Health reimbursement software removes the time, cost and complication of health benefits offer
Employers who use a software platform can expect.
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online reimbursement program manage in less than 5 minutes per month.
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with existing payroll or HR processes integrate repayments.
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manage the reimbursement program online 24/7.
2. Tax Savings & Compliance
Health reimbursement software keeps the company in accordance with the three key areas:
a) save taxes and IRS compliant: If the company elected to a tax-free reimbursement program, such as a section 105 Health Care reimbursement plan (HRP), requires the IRS that a plan formal health are found with IRS-compliant plan documents.
b) Federal Compliance: The federal government guidelines for employers, the individual health of the employee insurance premiums want to contribute. A software platform ensures compliance with HIPAA, ERISA and ACA rules
- ERISA .: Under ERISA, the employer is not allowed "support" to a specific individual health insurance. Health reimbursement software keeps the employer ERISA compliant because they never know what kind to buy policy
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HIPAA Privacy Rule .: By use compliant software platform, a third-party reviews and processes staff refund applications keep all medical information HIPAA-protected. And with the software are all receipts for 10 years stored in accordance with HIPAA, as required by the IRS for verification purposes. The employer never sees employee medical information
c) ACA / Healthcare Reform :. The Affordable Care Act (ACA) were new demands for health reimbursement plans including how benefits information presented to employees (Summary of Benefits and Coverage or SBC), new reporting forms (720/5500) and new plan design requirements ( such as: ban on annual limits). This also includes the observance of new "market reforms" of the ACA required.
A good software platform, the employer with all relevant documents, information and schedule settings provides its ACA-compliant
FAQ :. Can I manage a Health Reimbursement Plan Myself?
Technically, an employer can administer its own health reimbursement plan itself, but the failure to comply with the minimum is to meet federal requirements common (and expensive) without a compatible health reimbursement software is used.
If an employer is not a software platform not fully utilizes the IRS, ERISA, HIPAA, COBRA and ACA provisions, the administrative costs likely outweigh meet the advantages
FAQ :. Can I pay for insurance premiums' employees without formal health reimbursement plan?
Some companies might direct an employee's individual health insurance want to pay to use without anERISA andHIPAA-compliant platform, but to make the compliance of transactions, so ask with federal regulations and may the company (and employees) increase tax liability. Read more:
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