{"id":323,"date":"2014-10-15T16:08:36","date_gmt":"2014-10-15T16:08:36","guid":{"rendered":"http:\/\/bcgfl.com\/site\/?p=323"},"modified":"2014-10-15T16:08:36","modified_gmt":"2014-10-15T16:08:36","slug":"important-irs-updates-for-section-125-plans","status":"publish","type":"post","link":"http:\/\/bcgfl.com\/site\/?p=323","title":{"rendered":"Important IRS Updates for Section 125 Plans"},"content":{"rendered":"
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Important IRS Updates for Section 125 Plans<\/p>\n

October 1, 2014<\/b><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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Application of the Permitted Change Rules for Health Coverage under a 125 Cafeteria Plan.<\/strong>\u00a0<\/p>\n

In IRS Notice 2014-55 (click here<\/a>) released on September 18, 2014, the IRS addressed two specific situations in which a Section 125 cafeteria plan participant may cancel his\/her group health coverage mid-plan year.<\/p>\n

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Other important Plan Updates for 2015:<\/b><\/p>\n
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  • Qualified Parking Benefits – Monthly maximum employee contribution: $250 (remains same as 2014)<\/li>\n<\/ul>\n
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    • Qualified Transit Passes and Van-Pooling Benefits – Combined monthly limit for transit passes and van-pooling expenses:\u00a0 $130 (remains same as 2014)<\/li>\n<\/ul>\n
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      • Adoption Assistance Exclusion and Adoption Credit\n
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        • Maximum employee contribution: $13,400 (up from $13,190 for 2014)<\/li>\n
        • Maximum adoption credit: $13,400<\/li>\n
        • Exclusion and credit will begin to phase out for individuals with modified adjusted gross incomes greater than $201,010 (up from $197,880 for 2014) and entirely phased out for individuals with modified adjusted gross incomes of $241,010 (up from $237,880 for 2014).\u00a0<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n
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          • Patient-Center Outcomes Research Trust Fund Fee (PCORI) sets the fee at $2.08 for the October 1, 2014 to October 1, 2015 policy and plan period. This is an increase from the $2.00 fee in effect for 2013 to 2014.\u00a0<\/li>\n<\/ul>\n

            We will keep you apprised of any changes or clarifications to these updates, and any other relevant updates if information becomes available.\u00a0\u00a0<\/p>\n

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