Other Post-Employment Benefits, or “OPEB” for short, is defined by GASB as any post-employment benefit other than pensions or compensated absences. These types of post-employment benefits are at the complete discretion of the employer including if any OPEB benefits are provided or not, what classifications are offered benefits, and the eligibility requirements in order to receive them upon retirement. OPEBs …
Incurred But Not Reported Reserves (IBNR)
If you offer a self-insured health or dental plan, an important and essential aspect of the plan is the incurred but not reported reserve (IBNR). Essentially, IBNR is an estimate, generally determined as of the plan year end, of all covered claims that have occurred but have not yet been reported. For example, say an individual is in a car …
Self-insured health/dental plan attestations – OCI requirements?
If your health or dental plan is self-insured, then you know that there are some key differences in comparison to a fully insured plan. For public school districts in Wisconsin that self-insure their sponsored health or dental plans, there is one other emerging requirement. Wisconsin Statute §120.14 and the Wisconsin Department of Public Instruction (DPI) state audit guidelines require that …
Update on Requirements from OCI…
Key Benefit Concepts (KBC) provides several unique actuarial services including attestation of self-insured health and dental plan financial soundness and/or adequacy of incurred but not reported (IBNR) reserves. Wisconsin Statute §120.14 state audit guidelines that school district audits should include information concerning the school district’s self-insured health and dental plans. Specifically, a footnote with a date of actuarial certification attesting …
403(b) / TSA – Pros / Cons – Taxable vs. Tax Deferred vs. Nontaxable
There are many different benefit vehicles available through employers for their employees depending on the type of entity. One specific benefit vehicle is a 403(b) or Tax-Sheltered Annuity (TSA). According to the Internal Revenue Service, a 403(b) or TSA plan is a retirement plan offered by public schools and certain charities and is similar to a 401(K) plan maintained by …
Health Reimbursement Arrangements (HRA) for Active Employees
An HRA is similar to an H.S.A. in that its purpose is to allow for tax-free reimbursement of health plan deductible and eligible health care expenses paid by the employee or individual covered under the plan; however, the HRA is very different in many other ways: No specific Health insurance plan design – for active employees, the employer provides the …
Post-Employment Health Reimbursement Arrangements (HRA)
Changes implemented through the Affordable Care Act (ACA) limit an employer’s ability to provide an HRA to active employees ONLY in conjunction with the employer’s health insurance plan. However, an employer is not restricted to providing an HRA for employees once employment is severed. Remember the employer is the only one allowed to design and fund the HRA plan and …
Facts about the Individual’s Control of the H.S.A.
The individual opens the H.S.A. account and maintains control of the account once opened. Anyone can fund the H.S.A. account. Typically, the individual puts funds into their own account and/or the employer may also put funds into the account. Funds going in are not taxable. If the individual put funds in during the calendar year, he or she can deduct …
H.S.A. Health insurance plans and the Individual Health Savings Account
An H.S.A. stands for Health Savings Account. A health savings account is a type of savings account that lets you set aside money on a pre-tax basis to pay for qualified medical expenses. There are 2 facets to this program: An employer or individual health insurance plan that meets certain IRS requirements. In 2022 a health insurance plan that qualifies …
Waukesha County Fair 2022!
JOIN THE FUN this Summer! County fairs are a great way to spend time with your family outdoors and Wisconsin is known for its popular fair food and animals! Key Benefit Concepts is located within Waukesha County which is only 10 minutes from the city of Waukesha; the host of Waukesha County’s Fair each summer. The fair grounds are located …