S&W Insight: The IRS clarified several trailing issues with respect to COBRA premium subsidies under the American Rescue Plan Act, including extended election periods, eligibility for other coverage, and rules about allocating premium credits among employers. In addition, a notice deadline is on the horizon. Many employers have been grappling with the ramifications of the American Rescue Plan Act (“ARPA”) since it was enacted earlier this year. Among other provisions, ARPA provided a temporary subsidy…

On July 1, 2021, the Office of Personnel Management, Department of the Treasury, Department of Health and Human Services, and Department of Labor issued the interim final rule “Requirements Related to Surprise Billing; Part I” (the “IFR”), which is the first phase of regulations implementing the No Surprises Act. The No Surprises Act provides certain protections against surprise medical bills and was signed into law on December 27, 2020 as part of the…

In June the Internal Revenue Service released an updated Nonqualified Deferred Compensation Audit Technique Guide. This updated Guide replaces the initial Guide published in 2015. While it is too early to say whether the release of the updated guidance signals increased audit activity by the Service in the nonqualified plan space, plan sponsors of nonqualified deferred compensation plans may want to consider reading the updated guidance to re-familiarize themselves with the underpinnings of Section…

Despite myriad legal challenges, the Affordable Care Act (“ACA”) remains the law of the land. We previously reported on the Supreme Court’s latest validation of the law in our SW Benefits Update, “Three Strikes You’re Out – The Affordable Care Act Survives a Third Legal Challenge.” The Court’s ruling means that employers and their group health plans must continue to comply with the requirements of the ACA, including its large employer shared responsibility…

On May 13, 2021, Phoenix executive compensation and employee benefits partner, Greg Gautam, joined Snell & Wilmer’s “CalCurrent” podcast.  On his episode,  Greg covered five common pitfalls private companies and startup companies should watch out for when structuring their equity compensation and incentive programs.  You can listen to Greg’s full CalCurrent episode here if you are interested in learning more about these common mistakes, and more importantly, tips on how to avoid them.…

As detailed in our SW Benefits Update, “Ironing Out the Wrinkles – IRS Answers 86 Questions About COBRA Relief Under the American Rescue Plan Act,” the IRS recently released Notice 2021-31 (the “Notice”), providing welcome guidance on the COBRA election and subsidy requirements under the American Rescue Plan Act (“ARPA”).  As mentioned in that SW Benefits Update, the Notice included some unexpected guidance regarding the impact of ARPA COBRA elections on the COBRA…

This year is off to a fast start and plan sponsors might find their heads spinning as they try to keep track of rapidly developing employee benefits legislation and guidance.  We periodically consolidate key newsletters and blog posts to help our readers stay organized and catch up on anything they might have missed in the mayhem.  Below, please find links to several SW Benefits Updates and blog posts covering critical developments in the employee benefits…