Join Kevin Peternel, SPHR, President of The HR Effect, for an informative and practical session on the tips, tricks and
traps of using employee handbooks as one of your communications tools.. With over 20 years of HR experience and
several years as a consultant, Kevin brings broad expertise to the tips, tricks and traps of using employee handbooks
as one of your communications tools.

Session topics include:

1. Why put things in writing? (And, HR writing techniques such as tone and style)
2. The differences between policies and handbook content.
3. Why develop an employee handbook?
   • What are the benefits? • What are the drawbacks?
4. Handbook Best Practices, including:
   • Do’s
   • Don’ts
   • Absolute “must have’s”
   • Other topics to include (with samples)

Notes: Participants will receive a reference book with the course content, including samples, examples, and a helpful checklist. Participants are encouraged to bring their current handbooks or current policies to the session.

When: (3 date options):

Thursday, 7/26 (11:30-1:30)
Friday, 7/27 (8:30-10:30)
Monday 7/30 (8:30-10:30)  

Where: Payroll Company Training Center

6405 Century Ave
Middleton, WI 53562

Cost:  $45.00 / Attendee

To register: CALL 877-277-2926 or REGISTER ONLINE at payrollcompany.biz/seminar

Human Resources support is a critical tool to protect and grow your business in the world of constantly-changing employment laws, regulations and practices.

HR Answer link delivers a reliable place to turn with your HR questions and issues.

Put HR Answer Link to work for your business today!

• Available whenever the need arises 
• Access the online HR help center available 24 hours a day, 7 days a week.
• Advice and tools you can use now. Apply straight-forward best practices, tips and information that you can put into immediate action to protect and grow your business.
• Trusted expertise offering guidance Connect with Human Resources Pros with years of experience providing the content and insights you need to succeed.
• Always up-to-date.
• The world of human resources changes constantly.  Gain easy access to up-to-date information and resources.

Contact us for more information 877-277-2926

 

POST-RETIREMENT HEALTH EXPENSES DON’T ESCAPE THE IRS TAX NET

 

Employee contributions toward post-retirement medical expenses must be included in the employee’s gross income whenever they’re made in place of regular compensation, accrued leave or both. (I.R.C. Sec. 106)

 

That’s the word from IRS in a recent Private Letter Ruling (PLR).

 

The company requesting the ruling proposed a plan that would give employees the option of contributing:

            1. A portion of regular compensation, or

            2. Up to 500 hours of accrued leave.

 

Other features of the proposed plan:

Employees would have had 30 days from initial eligibility to make a one-time irrevocable election to participate. Anyone who hadn’t previously joined would have a chance to sign up each year.

 

Once elections are made, employees couldn’t receive refunds.

 

Participating retirees would be able to use their accounts only to pay for medical expenses described in I.R.C. Sec. 213(d), except for long-term care expenses.

 

Amounts left after an employee dies could be used by the surviving spouse, dependents, or beneficiaries.

 

IRS Decision

 

Should these amounts be included in taxable income? IRS says yes.

 

Here’s why: Employees have the option of receiving their compensation or sick leave as a cash payment or applying it to the health plan. That means the amount is considered an employee contribution, which isn’t excludable from income.

 

It’d be a different story (i.e., nontaxable) if the employer made the contributions with sick leave credits the employee couldn’t receive in cash.

 

Note that the proposed plan also wouldn’t qualify as a tax-favored:

Health reimbursement arrangement – Employer contributions can’t come from salary reductions, or   Section 125 plan – Unused amounts can’t be carried forward. (Under the proposed plan, Employee contributions could have been used in the future, after retirement.)

 

Cite: PLR 207704005. Note: PLRs can’t be relied on as precedent, but can show trends in IRS’ decision making

The Payroll Company is pleased to announce the addition of Marge Gaboda as Communication Manager.

 

 

Subscribe to the Connection Newsletter

* required

Email Address: *

First Name: *

Last Name: *

Company: *