Under the Affordable Care Act (ACA), if you are an “applicable large employer” (ALE), there are two key things you need to know this time of year: First, if you do not offer at least 95% of your full-time employees health coverage that qualifies as… [Read more]
New Health and Welfare Benefit Limits for 2024
The IRS has released the 2024 limits for certain employee benefit plans and the dollar amounts used for certain nondiscrimination testing. Health Flexible Spending Accounts. The 2024 limit for employee contributions to health flexible spending accounts will increase to $3,200. If a cafeteria plan permits the carryover… [Read more]
IRS Announces 401(k) Limits for 2024
The IRS announced that starting in 2024, employees can contribute up to $23,000 into their 401(k), 403(b), most 457 plans or the Thrift Savings Plan for federal employees. That’s an increase of $500 from the 2023 limits. The catch-up contribution limit for employees ages 50… [Read more]
California to Increase Paid Sick Leave starting January 1, 2024
Beginning January 1, 2024, California employers will need to provide 40 hours or five days per year of paid sick leave, a 16 hour or 2 day increase per year over the current practice. Employers have two (2) methods available when granting paid sick leave… [Read more]
IRS Delays Change for 401(k) Catch Up Contributions for 2 Years
Under section 603(c) of the SECURE 2.0 Act, catch-up contributions from participants in 401(k), 403(b), or governmental 457(b) plans earning $145,000 or more must be made as Roth contributions. Initially, the provisions of section 603 applied to taxable years beginning after December 31, 2023. The… [Read more]