Tagged: Defined Contribution

Some vendors argue that employers can put money in an HRA or section 125 Premium Reimbursement Account or even use an after-tax to help employees pay for individual health insurance premiums, but the IRS and DOL have made it clear that this practice is not permissible. With the passage of the 21st Century Cures Act, though, defined contribution is now legal through a “Qualified Small Employer Health Reimbursement Arrangement.”

The 21st Century Cures Act, signed into law December 13, 2016 by President Obama, contains a provision allowing for “Qualified Small Employer Health Reimbursement Arrangements.” In this webinar, we seek to explore what this legislation means for employers across the country that are now eligible to offer stand-alone HRAs.