combsandco


How to Decide Which Employees to Bring Back from Furlough

Strategizing on how to bring some furloughed employees back?  Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

 

1. Create a staffing plan that revolves around the needs of the COMPANY first. Ask yourself where you anticipate being busy and where you may be slower. Create a plan accordingly.
2. Choose which staff return based on unique skill sets needed, overall job performance, seniority/tenure, or their willingness to do jobs outside of their normal scope.
3. DO NOT discriminate based on age, perceived disabilities, or by retaliating for taking paid sick leave.

Make sure to DOCUMENT your process ahead of time and COMMUNICATE to your staff your plan to avoid unnecessary stress for everyone.

*REMEMBER TO ALWAYS CONSULT YOUR ATTORNEY OR HUMAN RESOURCES VENDOR FOR ADVICE* If you need these types of vendors, we can refer you to them.



PPP Forgiveness Application Process & Documents to Prepare

Here’s a follow up on yesterday’s post, did you get the PPP loan and now you are concerned about the process and what documents you need to prepare in order to have the loan forgiven?  Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

The CARES Act requires employers to apply for loan forgiveness with the same lender they applied for the PPP loan at the end of the eight-week period following the disbursement of their loan.

When applying for loan forgiveness, employers will need to provide the following information:

  • The total requested amount to be forgiven
  • Documentation verifying the number and pay rate of FTEs on payroll:
    • Payroll tax filings with the IRS
    • State income, payroll and unemployment insurance filings
  • Documentation verifying covered mortgage interest, rent or lease obligations, and utilities
  • Certification from an authorized representative for the employer that all supplied documentation is true to the fullest extent possible
  • Certification from an authorized representative for the employer that the amount requested to be forgiven complies with PPP guidelines

After submitting an application, lenders must make a decision on whether an employer’s PPP loan will be forgiven, or how much of the loan will be forgiven, within 60 days. In some cases, a lender may ask for additional information. Employers should monitor their application and pay attention to any requests for additional information. For questions on your company’s loan forgiveness eligibility or application, contact your lender.



Maintain Eligibility for PPP Forgiveness

Did you get the PPP loan and now you are concerned about making sure the loan is fully forgiven?  Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

U.S. small businesses that were able to secure financial relief through the SBA’s Payroll Protection Program should consider the following to help their cause for qualification of forgiveness of the full principal amount of the loan and any accrued interest:
• Use the loan funds only toward: payroll, including salary, wages, tips and covered benefits for employees; rent or mortgage interest; and utilities.
• Ensure at least 75% of loan funds are allocated for payroll costs.
• Maintain the level of full-time employee (FTE) headcount without reduction during the eight-week covered period.
• Maintain the salaries and wages of your workforce during the eight-week covered period. Any reduction of more than 25% for any employee who makes less than $100,000 will reduce the amount forgiven.
• Preserve proper documentation to support the amount of proceeds used for payroll costs, rent or mortgage, and utilities.
• Prior to June 30, 2020, restore all full-time employment and salary levels back from any reductions made between Feb. 15, 2020, and April 26, 2020. As mentioned above, preserving proper documentation is important, as this information will be used by your lender when evaluating whether an employer qualifies for PPP loan forgiveness.
For more information regarding loan forgiveness eligibility, go to the following link: https://www.sba.gov/funding-programs/…
Video on how to APPLY for Forgiveness will be released tomorrow!


Section 125 Considerations for Mid-Year Enrollments

Looking for an easy digestible explanation what considerations to make for Mid-Year Enrollments under a Section 125 plan? Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

 

Special Mid-Year Enrollment Window

1. Get Approval from Health Insurer in writing. If Self-funded, approval comes from stop-loss carrier.
2. Decide if these special deductions will be pre-tax or post-tax. As of right now, the IRS has issued no guidance for pre-tax elections due to COVID-19.

Section 125 Mid Year Election Change Events:
1. Change in employment status if the change impacts eligibility for health plan
2. A significant change in health plan coverage
3. HIPAA Special Enrollment (marriage, birth, etc)

To avoid any unintended liability, employers should check with your CPA and/or attorney to decide what is best for your business.



Wonder Woman Wednesday: What’s the good news, ladies? April edition.

Hello from the Covid-19 epicenter, aka NYC.  I don’t know about you all, but the past few weeks have been crazy, exhausting and just plain sad at times.  It is definitely not business as usual here and I know that’s true in many other places as well, but I also know we will all make it through this time.  One of the things that has kept me going during quarantine is connecting with the incredible women from our industry who are still able to share some great ideas with me about what they are most proud of in the last 12 months.  Be on the lookout for another article coming soon that will include many of the featured women in this series who will share what they have been doing to stay connected with their clients during all of this.

This month, I’m going to introduce you to two new friends who have been a great source of information and support for me during this time.  I know I have said it before, but it is so important to develop these peer-to-peer mentorship relationships, because when there are rough times like these, we pull each other up and help each other to excel.  Please join me in welcoming Chelsea and Jennifer to the fold.

Chelsea Whalley,  J Donovan Financial

“In the past 12 months, my biggest accomplishment has been learning that my business is not actually about me.

When I owned my first agency, I was infatuated with the idea of developing other agents. While this sounds admirable, I was truly motivated by the energy rush I received seeing others succeed. Even though I was helping others, at the core of it all, it was still about me.

Even in my second agency, there have been times when I put together the best options for a prospect to save them money and time; yet, I still don’t win. When this would happen, I would make it about me (my presentation skills, my sales skills, etc). Perhaps it was, but there’s a good chance that it was about one of the million other factors that business owners consider when making decisions.

The truth, and my biggest lesson, is that nothing is about me. I have learned that the only way to truly scale my business and help as many employees and clients as possible is to let go of the belief that the outcome is directly tied to my worth as an advisor or as a person. With this, I can finally be present and enjoy the work I am doing.”

Jennifer Warfield, CPF®, National Life Group

“I’ve been in financial services many years and I’ve never been more excited to do what I do.  My passion lies in supporting women and giving back.  In my role, training and developing agents to build their business, I’m able to do both.  I’ve seen great success among the women leaders who count for almost half of my business.  In the last year, I’m pleased to have been highest-producing field leader at my company, hitting record sales. And helping my agents learn and grow gives their clients peace of mind.

One of the best aspects of our industry is the relationships among the women within it. I am fortunate to be supported and inspired by many great women.  In 2019, I was named WIFS Woman of the Year, a wonderful honor. Celebrating success within our field is an important way to create community and inspire the next generation.”

I know that I, as well as the crew here at BenefitsPRO are thinking of everyone during these uncertain times.  As always, if you know of great women in the field who are working hard to make this this industry even better, send an email introduction to me at scombs@combsandco.com. I’d love to connect!  Stay safe my friends.

Click Here for the original article at BenefitsPro



How CARES Act Impacts Employer Health Plans

Curious how the CARES Act will impact Employer Health Plans? Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

On March 27, 2020, President Trump signed the Coronavirus Aid, Relief and Economic Security Act (CARES Act) into law to provide $2.2 trillion in federal funding to address the COVID-19 crisis. The CARES Act makes a variety of changes affecting health plans. These changes include:

1. Expanding the types of coronavirus testing that all health plans and health insurance issuers must cover without cost-sharing (such as deductibles, copayments or coinsurance) or prior authorization

2. Accelerating the process that will require health plans and issuers to cover preventive services and vaccines related to COVID-19

3. Allowing telehealth and other remote care services to be covered under a high deductible health plan (HDHP) before the deductible is met, without affecting the HDHP’s compatibility with health savings accounts (HSAs) (applicable for HDHP plan years beginning on or before Dec. 31, 2021)

4. Treating over-the-counter (OTC) medications, along with menstrual care products, as qualified medical expenses that may be paid for using HSAs or other tax-advantaged arrangements, such as health flexible spending accounts (FSAs) or health reimbursement arrangements (HRAs)



4 Ways to Keep Health Coverage

Here are 4 quick ways to keep your health insurance coverage by our Combs & Company friend, Chelsea Whalley of J Donovan Financial.

This is for employees who have lost coverage through an Employer Sponsored Plan.

1) COBRA- Contact your Benefits Administrator. Remember, there is no employer contribution so this is an expensive option.

2) Spouse Plan- This Qualifying Life Event (loss of coverage) creates a window of opportunity to join your spouse’s health plan. Contact your spouse’s Benefits Administrator for pricing.

3) Medicaid- A severe loss of income may qualify you for Medicaid at http://www.medicaid.gov

4) Healthcare.gov – The QLE allows you 60 days to enroll in an individual plan on the marketplace.



Paycheck Protection Program Forgivability Explained

Looking for an easy digestible explanation for how the Paycheck Protection Program (PPP) works? Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

PAYCHECK PROTECTION PROGRAM
  • Total Loan Value: Lesser of 10 million or 2.5x the average monthly total payroll incurred in the one year period prior to the loan start date.
  • Forgivable Portion: 8 weeks from the loan start date used for payroll, interest on mortgage, rent and utilities. At least 75% to payroll.
  • Main Point: The FORGIVABLE portion of the loan is tied DIRECTLY to Employees being paid- if you decrease wages or terminate, the forgivability is threatened.
  • *This loan is designed specifically to connect employees back to their employers.
  • * Loan Application: https://home.treasury.gov/system/file…
  • Find Approved Lenders: https://www.sba.gov/funding-programs/…

 

 



Small Business Exemptions for Paid Sick Leave Explained
Looking for an easy digestible explanation of the exemptions for companies under Paid Sick Leave? Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.
DOL Clarifies Exemptions to Coronavirus Paid Sick Leave Laws
– Less than 50 employees
– Leave is requested because the child’s school or place of care is closed due to COVID-19 related reasons
– An authorized officer of business has determined that at least one of the 3 conditions described below have been met:
1) The provision would result in small business’s expenses and financial obligations to exceed available business revenue and cause business to cease operating at minimal capacity
2) The employee requesting leave has a specific set of skills and knowledge that without it, the business’s financial and operational health is severely threatened
3) There are not sufficient workers who are able, willing and qualified to perform duties of person requesting leave and this would not allow business to operate at minimal capacity.
DOL is encouraging employers and employees to work together to find a solution during this time that allows the business to be maintained as well as the safety of employees.

 

 

 



Federal Loan Forgiveness CARES Act

Curious how the forgivable loans work under the CARES Act?  Check out this great video from colleague, Chelsea Whalley of J Donovan Financial.

Coronavirus Aid and Relief Economic Security Act
Emergency grants: The bill provides $10 billion for grants of up to $10,000 to provide emergency funds for small businesses to cover immediate operating costs.
The application process ends on June 30th (“The Covered Period”)
Forgivable loans: There is $350 billion allocated for the Small Business Administration to provide loans of up to $10 million per business. Any portion of that loan used to maintain payroll, keep workers on the books or pay for rent, mortgage and existing debt could be forgiven, provided workers stay employed through the end of June.
Relief for existing loans: There is $17 billion to cover six months of payments for small businesses already using SBA loans.