Employee Benefits Blog

Don’t Lose Your Money – Employers Can Now Allow Their Employees to Carryover up to $500 of their Health FSA

Late last year, the IRS announced that it was modifying the health flexible spending account (“health FSA”) “use-it-or-lose-it” rule. Prior to the change, employees had to use the full balance of their health FSA by the end of the plan year or the money would be forfeited. This rule sometimes forced employees to unnecessarily spend […]

February 1, 2014 | 2 min read | Tagged: Carryover, Health Care, Health FSA, IRS, Use-it-or-Lose-it

Kevin Hogan Former Associate

IRS Issues Relief for Certain “Closed” Defined Benefit Plans

In Notice 2014-5, the IRS provided temporary relief from the Code’s nondiscrimination rules for certain defined benefit plans that are closed to new participants. (This is sometimes referred to as a “soft freeze.”). The temporary relief allows employers who sponsor a closed defined benefit plan and a defined contribution plan to comply with Code’s nondiscrimination […]

January 31, 2014 | 1 min read | Tagged: defined benefit plans, frozen plan, IRS, nondiscrimination, qualified retirement plans

Anne M. Meyer Partner

IRS Announces 2014 Retirement Plan Limits

On October 31, 2013, the IRS announced the cost-of-living adjustments that will affect the dollar limitations for pension and other retirement plans for the 2014 tax year. Notably, the $17,500 annual contribution limit for employees who participate in 401(k) plans remains the same for 2014. Maximum Qualified Retirement Plan Dollar Limits 2013 2014 Limit […]

January 15, 2014 | 1 min read | Tagged: 401(k), IRS, qualified retirement plan limits, qualified retirement plans

Greg Gautam Partner