Are You Ready for 2011?

Morning fun People!!!

Two things that make time fly… one is when your having fun, and the other is when there is a new law that requires you as an employer to take some form of action.

Also,  don’t forget to visit us at the Family Business Chamber of Commerce.

Before you know it we will be in 2011 and a whole new set of laws will take effect.  Some you may know about and others you may not so lets get started and take a look at what’s coming your way in 2011.

1)    Employers must disclose the value of employer-provided health coverage on the employee’s W-2 excluding salary reduction amounts to Flexible Spending Accounts (FSAs), Health Savings Accounts (HSAs) and Medical Savings Accounts (MSAs)

NOTE:  Includes W-2s issued on or before January 31, 2011   Contact your payroll departments NOW and inform them of this change.

2)    Chain restaurants and companies that provide food that is sold from vending machines will be required to disclose the nutritional content of each food item sold.

NOTE:  For chain restaurants this means you should start planning NOW as to how and where in the restaurant you will provide the nutritional content of each food item sold.  For companies that provide food that is sold in vending machines, this means you will have to provide this information on the labeling of your food items.

3)    Small employers will be provided grants for up to 5 years to establish wellness programs.

4)    This provision applies to employers who:

a)    Employ fewer than 100 employees who work 25 hours or more per week, and

b)    Did not have a workplace wellness program as of March 23, 2010

5)    The Patient and Affordable Care Act requires the Secretary of Health and Human Services to develop program criteria that must include:

a)    Health awareness initiatives, (including health education, preventive screenings and health risk assessments).

b)    Efforts to maximize employee engagement (including mechanisms to encourage employee participation.)

c)    Initiatives to change unhealthy behaviors and lifestyle choice (including counseling, seminars, online programs, and self-help materials).

d)    Supportive environment efforts (including workplace policies to encourage healthy lifestyles, healthy eating, increased physical activity, and imporved mental health).

6)    Employers may submit application that include a proposal for a program that meets the criteria and requirements as described in the Patient and Affordable Care Act and developed by the Secretary.

CAVEAT: BEWARE of triggering the 40 percent excise tax on high value or “Cadillac” plans that take effect in 2018, for plans valued annually at more than $10,200 for individuals and $27,500 for families.  Employers spending on wellness programs will add to their health plan’s value, pushing them closer to the threshold for Cadillac plans.

A Few Other Changes in 2011 

Health Plans are prohibited from establishing lifetime limits or unreasonable annual limits on the dollar value of benefits for any participant or beneficiary.

Health Plans are prohibited from rescinding coverage of an enrollee once the enrollee is covered under such plan or coverage involved, except in regards to a covered individual who has performed an act or practice that constitutes fraud or makes an international misrepresentation of material fact.  Such Plan or coverage may not be cancelled except which prior notice to the enrollee.

A national, voluntary insurance program for purchasing Community Living Assistance Services and Supports will be established.  (CLASS Program)

Five Year demonstration grants will be awarded to states to develop, implement, and evaluate alternatives to current tort litigations.

WOW… that’s a lot going on…

As for 2012…..   RELAX, there are NO significant changes in 2012 except that the Medicare and Medicaid provision of the Act go into effect.

Well I don’t know about you but all this Health Care Law information is making my head hurt.

Ill switch gears starting on Monday, Memorial Day.  On Monday I will have a special message for all those that bravely served our country so that we can live in freedom and liberty today.

Then Tuesday I want to take a quick look at something a little different but something that effects a lot of family businesses.!

Till then have a GREAT Weekend and be sure to follow this blog.  Also please visit the Family Business Chamber of Commerce at www.familybusinesscc.com and sign up to be part of us today.

Rich