BASE^® Blog

BASE® knows it can be challenging to prepare and file Form 5500, especially when employers do not know that the benefits, such as medical and dental, may require separate filings from their retirement plans.  When something is this important, it deserves the help of qualified professionals to make sure the appropriate Form 5500 is filled out, prepared, and submitted. 

The Form 5500 is an annual report of Employee Benefit Plans, filed with the US Department of Labor, used to report important information regarding employee health and welfare benefit plans.  This form ensures that employee benefit plans are administered and managed in compliance with certain standards, and that all participants and their beneficiaries, have been given or have access to information about their plans.  A business’ forms are due the last day of the 7^th month of the plan year, which means the deadline is quickly approaching for most plans.

The BASE® 5500 Solver helps employers effectively prepare and file the Form 5500.  This comprehensive compliance solution generates custom compliant documents that allow employers to easily prepare and file electronically each year.  This innovative solution is for employers with 100 or more employees who provide health and welfare benefits to their employees. 

It is important that businesses who qualify to submit Form 5500 Series forms and schedules prepare, file, and submit in a timely manner to avoid steep penalties for failing to comply with this regulation.  The penalty for failure to file Form 5500 series has increased to $250 per day, but to not exceed $150,000. 

Our team at BASE® can help any employer that is required to prepare, file, and submit the Form 5500, to do so in a timely manner and avoid steep penalties, as well as administer any other health and welfare benefit plans that fit their business’ needs. 

For more information on the BASE® 5500 Solver, contact BASE® at 888.386.9680 or visit www.BASEonline.com. 

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Being able to provide an enhanced benefits package to employees isn’t just pure luck.  It takes a few steps, but then the employer is well on their way to saving valuable tax dollars and providing their employees with additional funds to combat the rise in health care. 

The Excepted Benefit Health Reimbursement Arrangement (EBHRA) is a cost-effective way that allows employers who offer a group health plan, to reimburse their employees an additional amount of money for premiums paid towards excepted benefits that are not covered by the traditional group health plan.  Excepted benefits are COBRA, dental, vision, short-term medical plans, and other qualifying out-of-pocket medical expenses. 

The BASE® EBHRA is for businesses of all sizes looking to maximize their tax benefits while expanding the benefits they offer their employees.  To enroll, employees must be offered the employer-sponsored group health plan, but do not need to enroll in it to participate in the EBHRA. 

How does the EBHRA work?  Check out the [lucky] 7 steps below:

1. Employer calls BASE® to enroll in the EBHRA
2. Offer employees the option to enroll in the employer-sponsored group health plan and the EBHRA
3. Employer establishes the reimbursement limit and the list of qualified expenses
4. Employees enroll in the EBHRA
5. Employees pay for their excepted benefits incurred by them and their dependents up to the maximum limit established by their employer
6. Employees submit a request for reimbursement with the required documentation
7. Employees receive reimbursement

With the Excepted Benefit HRA, it isn’t just the employer or employees that get “lucky,” they both benefit!  An employer has another way to maximize savings and tax benefits with all reimbursements being 100% deductible as a business expense.  Employees now have additional money to put towards their health care expenses that are not covered by their health insurance. 

For more information on the BASE® EBHRA, contact BASE® at 888.386.9680 or visit www.BASEonline.com. 

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