Healthcare payroll rules changed for Cafeteria Plans

If you offer a Sec. 125 cafeteria plan to your employees, take note that the IRS has expanded the permitted election rules for health coverage under this plan. Notice 2014-55 permits a cafeteria plan to allow an employee to revoke his or her election under an employer’s group health plan during a period of coverage in either of two situations in order to purchase a qualified health plan through an Exchange established under the Affordable Care Act. Consult the notice for a detailed explanation of the situations.

Leave a Reply

Your email address will not be published. Required fields are marked *