Fines for I-9 Errors on the Rise
Originally posted June 10, 2014 by Scott Woolridge on https://www.benefitspro.com
Fines resulting from I-9 audits have exploded in recent years, and immigration law experts say employers should put a high priority on making sure their policies and paperwork are in compliance.
“We have seen a huge increase in fines against employers, and we don’t think that’s going to go away,” says Loan Huynh, a shareholder with Minneapolis-based Fredrikson & Byron.
The fines are levied for failures in compliance with Form I-9. First created as part of the Immigration Reform and Control Act of 1986, I-9 enforcement saw a sharp uptick in audits and fines after a revision to the form in 2013.
ICE audited more than 1,000 businesses nationwide after that update. By comparison, ICE conducted only 250 audits in 2007. With the steady growth in audits and enforcement, businesses paid $13 million in fines by 2012.
Justin Storch, manager of agency liaison for the Alexandria-Virgini.-based Council for Global Immigration, also saw a jump in fines for I-9 mistakes.
“In general over the last several years, it has skyrocketed,” he says. “I’m guessing the numbers will be even higher in 2014 than it was in 2013.”
Storch says that among the issues emerging for employers is a crackdown on workers who might have been approved to work in the United States for a limited period of time, for example a conference or short-term assignment, who then continue to work after its ended.
“It really is important to do everything by the book, and don’t leave any holes open to let the government to come in,” Storch says.
The political stalemate over immigration reform only adds to the problem of ICE audits, according to a recent white paper from Talentwise. “With robust resources at its disposal (ICE is the largest enforcement agency within the Department of Homeland Security), and no clear legislative path to immigration reform in sight, experts predict the pace will continue,” the authors conclude.
Tips for employers
Huynh says there are several steps employers can take to protect themselves. She says having proper documentation — and backing that up with copies, is crucial.
“Under the law, if an employer has made paperwork errors or mistakes … if they have certain supporting documents, the law allows the immigration service to allow [employers] ten days to make corrections,” she says. “None of us are perfect, when we’re completing forms. You want to be perfect as possible, but you really need to make copies of supporting documents.”
The Society of Human Resource Management website has several tips for employers, including being compliant with deadlines. For example, a new hire must complete Section 1 of the I-9 form on or before the first day of employment, while Section 2 of the I-9 must be completed by the employer within three days of the start date. Other important steps include having your policies in writing and a one person in charge of the process.
“The buck needs to stop with someone,” Loan says. If no one is tasked with ownership of the I-9 paperwork, it’s too easy for things to slip through the cracks. And the consequences of such mistakes can be very high.
Huynh’s firm also recommends semi-annual audits, preferably by a third party. She notes that if there’s an error in a company’s I-9 system, whoever created the system might be the last to notice problems.
“If you have the individuals who are responsible for your I-9 forms do your audit, they will perhaps continue to make the same mistakes,” she says. “It’s always helpful to have [an outside party] help you conduct the I-9 audit.”
Storch also strongly recommends getting an outside source to review your I-9 compliance.
“There are experts out there,” he says. “Immigration attorneys are probably your best resource as far as getting good information. They can help you stay compliant.”
Although there is a cost for using attorneys to help with I-9 issues, Storch say it’s worth it.
“I’m very aware that immigration attorneys can be very expensive, but it can save you money in the long run,” he says.
Huynh points out another benefit: by using an immigration attorney, the audit can be kept confidential.
“Any findings made as a result of the I-9 audit, if it’s conducted by an attorney, it’s protected under attorney client privilege,” she notes.
The rules around I-9 forms can be very specific and sometimes confusing. For example, those filling out the forms must not use white correction fluid or black permanent marker. The person who fills out the form must be the person who signs it. Employers must retain any pages of the form which the employee and employer enter data. In short, that legal consultant might be a good investment.
The growth of E-Verify
Complicating the issue further is the growing use of E-Verify, a free online system that checks applicants’ I-9 information against the records of other agencies such as the Department of Homeland security and the Social Security Administration.
Many states now require the E-Verify for at least some types of employers. But in many cases, the use of E-Verify is a duplicative effort for businesses, and it requires even more information than the I-9 process.
However, Huynh says some employers like the E-Verify system because it provides another layer of security against employment fraud.
“Some employers feel comforted by the fact that they've done everything they can,” she says.
However, she noted it wasn’t a perfect system, “It’s not foolproof.”
Even with its flaws, Huynh expects the use of E-Verify to grow in coming years, “E-Verify is the future of employment verification eligibility, whether we like it or not.”
Maximizing the dollars being spent on benefits technology
Originally posted by Andy Stonehouse on https://ebn.benefitnews.com
Employers in the United States and across the world are quickly increasing the amount of money they’re investing in HR technology, including systems such as cloud-based HR portals and talent management solutions.
That, in turn, is leading many employers to reexamine the ways they handle their entire HR workflow, and allowing many benefits managers a greatly expanded range of tools for personnel management.
It’s a positive sign, especially as many companies have cut back their benefits and HR staff, and illustrates some ongoing trends for growth in HR technology, according to Mike DiClaudio, global leader of Towers Watson’s HR service delivery practice.
“Despite cost cutting in some areas of HR, we are seeing a substantial spike in technology spending,” DiClaudio says. “Companies are realizing the value that consumer-grade technology brings to HR and are willing to make smart investments that can grow and evolve with the business.”
Towers Watson’s new HR Service Delivery and Technology survey indicates that at least a third of respondents planned on spending more money on HR technology than they did last year.
Use of mobile technology and HR portals is also an increasingly standard part of the day-to-day benefits workflow, with some 46% reporting they’re using mobile tools for HR transactions and 60% indicating they’ve got a portal already in place.
“It also appears that companies are splitting their investments between core HR systems such as talent management and payroll, and next-generation technology including HR data and analytics, [plus] integrated talent- management systems.”
But the technology spend is just part of a larger revolution underway in overall HR and benefits management, DiClaudio says. More than half of the employers surveyed indicated that they’ve reengineered key HR processes over the last year and a half, and roughly three in 10 respondents say they have refocused the role of their HR business partners.
Another significant trend is the move toward manager and employee self-service initiatives, with almost three quarters of North American-based organizations already using manager self-service tools, a 10% jump from last year.
Employee engagement surveys have also become an increasingly common practice among employers hoping to get the best out of their HR technology dollars, with almost two thirds of U.S. employers conducting regular employee engagement surveys and using the data to better direct their personnel and benefits investments.
HDHP Use Doubles for Nonprofits
Originally posted by Kathryn Mayer on https://www.benefitspro.com
For many nonprofits, just having traditional medical coverage is so 2009. Consumer-driven plans, like HDHPs, are the new rage.
According to a survey from benefits administration firm PPI Benefit Solutions, among nonprofits, the use of traditional medical plans has decreased from 96 percent in 2009 to 83.6 percent in 2013. Meanwhile, the use of high-deductible health plans has nearly doubled, increasing from 22 percent in 2009 to 43.5 percent in 2013.
PPI surveyed more than 250 small to mid-sized nonprofit organizations nationwide.
“Nonprofits are really struggling to maintain a comprehensive benefits package, and consumer-driven plans like HDHPs, health savings accounts and flexible spending accounts can be great, lower-cost options,” said Karen Greco, director of marketing for PPI Benefit Solutions. “The growth in these plan types, combined with the appeal of a predictable benefits budget, is also driving a lot of interest in alternative funding and enrollment solutions like defined contribution with an online marketplace that offers a wide array of product options.”
More nonprofits also are adding voluntary benefits, the report found. More employers, since 2012, are offering voluntary dental (offered by 20.3 percent of employers), life (49.7 percent), critical illness (9.6 percent), accident (34.5 percent) and transit reimbursements (24.3 percent) to their employees.
Other findings from the PPI report include:
Increased importance on automated benefits administration and enrollment: 77.2 percent of employers (up from 28.8 percent in 2012) consider benefits administration platforms to be very important and the 44.3 percent of employers (up from 9.6 percent in 2012) who believe employee self-service portals to be very important.
Help needed with understanding PPACA: 60.5 percent of nonprofits said they haven’t calculated the cost of compliance with regulations under the Patient Protection and Affordable Care Act.
Brokers wanted? Nearly 85 percent of nonprofit employers said they’re committed to delivering health and welfare benefits to their employees but are “seeking solutions to help manage costs and improve employee engagement.”
One-Third of Workers Say ACA Will Delay Their Retirement
Originally posted May 27, 2014 on https://annuitynews.com. 
Although the Congressional Budget Office projects a smaller U.S. workforce in coming years as a result of the Affordable Care Act (ACA), the majority of American workers don't believe that the ACA will allow them to retire any sooner, according to a new survey from https://MoneyRates.com. On the contrary, the Op4G-conducted survey indicates that one-third of workers expect that the ACA – also known as Obamacare – will raise their health care costs and thereby force them to retire later than they previously anticipated.
One-quarter of respondents felt that Obamacare would have no impact on their retirement date, and another one-quarter weren't sure how it would impact their retirement. Those who felt Obamacare would allow them to retire earlier were the smallest segment of respondents at 17 percent.
Many of the workers who indicated that Obamacare would delay their retirement said that the delay would be lengthy. Seventy percent of those respondents said they expected the delay to be at least three years, including the 39 percent who said it would be at least five years. The respondents who said they expected an earlier retirement were more moderate in their projections, with 71 percent indicating it would hasten their retirement by three years or less.
Richard Barrington, CFA, senior financial analyst for https://MoneyRates.com and author of the study, says that the purpose of the survey wasn't to determine whether Obamacare would truly delay or hasten anyone's retirement, but rather to gauge the fear and uncertainty that surround the program today.
"It's too early to tell whether Obamacare will actually delay people's retirements," says Barrington. "But what's clear at this point is that the program has created a lot of concern about health care costs as a burden on workers and retirees."
Barrington adds that whether or not these concerns are warranted, there are steps workers can take to better manage their health care costs in retirement, including budgeting for health insurance within their retirement plans, shopping regularly for better deals on insurance and using a health savings account as a way of handling out-of-pocket medical expenses.
"The poll reflects a high degree of uncertainty over the impact of Obamacare on retirement," says Barrington. "One way to reduce the uncertainty is to take active steps to manage how health care will affect your retirement."
Upcoming PCORI Fee Due July 31
Source: https://www.irs.gov
The Affordable Care Act imposes a fee on issuers of specified health insurance policies and plan sponsors of applicable self-insured health plans to help fund the Patient-Centered Outcomes Research Institute. The fee, required to be reported only once a year on the second quarter Form 720 and paid by its due date, July 31, is based on the average number of lives covered under the policy or plan.
The fee applies to policy or plan years ending on or after Oct. 1, 2012, and before Oct. 1, 2019. The Patient-Centered Outcomes Research Institute fee is filed using Form 720, Quarterly Federal Excise Tax Return. Although Form 720 is a quarterly return, for PCORI, Form 720 is filed annually only, by July 31.
Specified Health Insurance Policies and Applicable Self-Insured Health Plans
The fee is imposed on an issuer of a specified health insurance policy and a plan sponsor of an applicable self-insured health plan. For more information on whether a type of insurance coverage or arrangement is subject to the fee, see this chart.
Calculating the Fee
Specified Health Insurance Policies
For issuers of specified health insurance policies, the fee for a policy year ending before Oct. 1, 2013, is $1, multiplied by the average number of lives covered under the policy for that policy year. Generally, issuers of specified health insurance policies must use one of the following four alternative methods to determine the average number of lives covered under a policy for the policy year.
- Actual Count Method: For policy years that end on or after Oct. 1, 2012, issuers using the actual count method may begin counting lives covered under a policy as May 14, 2012, rather than the first day of the policy year, and divide by the appropriate number of days remaining in the policy year.
- Snapshot Method: For policy years that end on or after Oct. 1, 2013, but began before May 14, 2012, issuers using the snapshot method may use counts from the quarters beginning on or after May 14, 2012, to determine the average number of lives covered under the policy.
- Member Months Method and 4. State Form Method: The member months data and the data reported on state forms are based on the calendar year. To adjust for 2012, issuers will use a pro rata approach for calculating the average number of lives covered using the member months method or the state form method for 2012. For example, the issuers using the member months number for 2012 will divide the member months number by 12 and multiply the resulting number by one quarter to arrive at the average number of lives covered for October through December 2012.
For more information on these methods to determine the average number of lives covered under a policy for the policy year, please see the final regulations (PDF).
Applicable Self-Insured Health Plans
For plan sponsors of applicable self-insured health plans, the fee for a plan year ending before Oct. 1, 2013, is $1, multiplied by the average number of lives covered under the plan for that plan year. Generally, plan sponsors of applicable self-insured health plans must use one of the following three alternative methods to determine the average number of lives covered under a plan for the plan year.
- Actual Count Method: A plan sponsor may determine the average number of lives covered under a plan for a plan year by adding the totals of lives covered for each day of the play year and dividing that total by the total number of days in the plan year.
- Snapshot Method: A plan sponsor may determine the average number of lives covered under an applicable self-insured health plan for a plan year based on the total number of lives covered on one date (or more dates if an equal number of dates is used in each quarter) during the first, second or third month of each quarter, and dividing that total by the number of dates on which a count was made.
- Form 5500 Method: An eligible plan sponsor may determine the average number of lives covered under a plan for a plan year based on the number of participants reported on the Form 5500, Annual Return/Report of Employee Benefit Plan, or the Form 5500-SF, Short Form Annual Return/Report of Small Employee Benefit Plan.
However, for plan years beginning before July 11, 2012, and ending on or after Oct. 1, 2012, plan sponsors may determine the average number of lives covered under the plan for the plan year using any reasonable method.
For more information on these methods to determine the average number of lives covered under applicable self-insured health plans for the plan year, please see the final regulations (PDF).
Reporting and Paying the Fee
File the second quarter Form 720 annually to report and pay the fee no later than July 31 of the calendar year immediately following the last day of the policy year or plan year to which the fee applies. Issuers and plan sponsors who are required to pay the fee but are not required to report any other liabilities on a Form 720 will be required to file a Form 720 only once a year. They will not be required to file a Form 720 for the first, third or fourth quarters of the year. Deposits are not required for this fee, so issuers and plans sponsors are not required to pay the fee using EFTPS.
Please see the instructions for Form 720 on how to fill out the form and calculate the fee. If for any reason you need to make corrections after filing your annual Form 720 for PCORI, write “Amended PCORI” at the top of the second filing.
The payment, if paid through the Electronic Federal Tax Payment System, should be applied to the second quarter (in EFTPS, select Q2 for the Quarter under Tax Period on the "Business Tax Payment" page).
Retention Starts Day One
Originally posted May 12, 2014 by Stephen Bruce (PhD, PHR) on https://hrdailyadvisor.blr.com.
Retention’s going to be key for many organizations as the economy improves—your best people are going to be testing the water and your toughest competitors are going to be looking for them.
There’s Nothing I Can Do
Many managers have the attitude “I wish management would do something about retention.” That’s the first thing to correct—it’s every manager’s and supervisor’s job to work on retention. They should realize that it’s for their own good. Turnover (of good people) is their department’s most debilitating disease.
First of all, it eats away at the manager’s personal productivity—job requisitions, postings, interviews, reference checks, and training suck up a lot of valuable time.
Second, turnover is a morale killer. Everyone else has to pitch in and get the job done while the position is vacant. And then there’s the inevitable, “Why are all our good people leaving? What do they know that I don’t know? Should I start putting together my résumé?”
Retention Starts Day One … and Continues Every Day
Managers and supervisors who have great retention rates share several behaviors: They think of their employees as customers; they recruit every day; and they remember that their actions are always on display.
Employees Are Customers
How far would you go to retain a good customer? Make sure you put that level of interest in retaining your employees.
- What do they care about?
- Do they understand their contribution and do you show that you value that contribution?
- What can you do today to make sure you retain them as a customer?
Recruit Every Day
As the saying goes, better recruit your best people every day … your competitors are. Try to avoid that oft-referenced situation where managers and supervisors spend 80 percent of their time on the poorest-performing 20% of their employees.
You Are on Display
Your actions speak louder than any policy or handbook declaration. “Our employees are our most valuable asset” sounds good on paper. Do you live up to that premise in your day to day dealings with employees?
You Have a Road Map
During the interviewing process, you found out about the new employee’s aspirations and expectations. And you probably made a few promises about the future as well. Together, those lists will help you build a retention road map for that employee.
Onboarding
Too many managers think that onboarding is something HR does with new employees the first day to get them signed up for benefits.
Onboarding is the first step in retention—get it right.
To be effective, onboarding is an involved process that lasts weeks or months. There are business methods and approaches to be learned, contacts to be made with key players in different departments, and various assimilation activities that help the new person be comfortable and contributing.
Remember that new employees are often reluctant to ask for help, so keep careful tabs on their work. Consider assigning a “buddy.”
A recent survey conducted by BambooHR shows the following often overlooked factors in an effective onboarding process:
- Receiving organized, relevant, and well-timed content
- On-the-job training
- Assignment of an employee “buddy” or mentor
- Having the onboarding process extend beyond the first week
When it comes to which aspects truly matter to employees starting a job, free food and perks are not what they crave. They want an onboarding process that helps them reduce the learning curve in becoming an effective, contributing team member.
Employer-Sponsored Health Care Facts of Life
Originally posted May 23, 2014 by Donna Fuscaldo on https://smallbusiness.foxbusiness.com.
High deductible health insurance plans are a fact of life, particularly for the employees of small businesses. But it doesn’t have to hurt morale or loyalty among workers. There are ways small business owners can help defray some of the costs if high deductible insurance plans are all they can offer.
“With the Affordable Care Act there is clearly a movement toward higher deductible plans,” says Barry Sloane, CEO of Newtek, a health insurance agency for small businesses. “Unfortunately higher deductibles are a fact of life whether you live in New York or Nebraska.”
In an effort to keep costs down and incentivize employees to curb some of the unnecessary visits to the doctor or specialists, employers of all sizes are making high deductible plans an option, and in some cases the only one.
That’s particularly true with small business owners who can barely afford to offer health insurance, let alone plans with low deductibles and limited cost sharing. As a result, experts say the era of high deductible health insurance plans and more of the burden being passed on to the employee is here and will likely stay. That change in the way health care is offered to employees can breed resentment and anger among workers, which in turn can have a negative impact on the overall business.
But there are things small business owners can do to reduce the burden. One way, according to Kevin Luss, owner of Luss Group, is to offer employees a medical bridge policy to neutralize the deductible and other out-of-pocket costs employees face.
At Luss Group, brokers work with employers to create a health plan that limits the cost sharing for the least frequent things like hospitalization, surgeries and outpatient procedures and with the savings, a medical bridge policy is taken out to insure employees from high deductibles associated with those expensive but less frequent medical needs. There are numerous ways to design the plan, but one option could be if one of the employees is admitted to the hospital he or she gets a lump sum of $3,000 in addition to a daily amount for the length of the admission. In that case, an employee who has a $5,000 deductible would only pay part of that out of pocket because the medical bridge policy covers the rest.
“The employer saves money by offering high deductible plans and uses part of the savings for the bridge plan,” says Luss. “These plans aren’t very expensive and in the long rung the employer saves money.” The rules and what is offered varies state by state.
For many small businesses footing the bill for a medical bridge policy isn’t an option, but they can offer it as a supplemental choice for employees. According to Nancy Thompson, senior vice president and director of sales at CBIZ Benefits and Insurance, employers who are providing high deductible plans can also offer the option of hospital indemnity and critical illness insurance, which will defray some of the costs associated with the high deductible plan. While it will cost employees more money, albeit not a lot, in exchange they’ll get one-on-one counseling with a benefits consultant, so they are making the right choices when it comes to their healthcare.
“Employees are going to experience gaps in coverage that they haven’t in the past,” says Thompson. “The right supplemental product is paramount when you go to a high deductible plan.”
Hand in hand with offering high deductible plans is providing the ability for employees to use pretax dollars for medical costs, which is where health savings accounts come into play. With a health savings account, funds contributed aren’t taxed and the money accumulated can be rolled over to the next year. Some employers who contribute to health savings accounts can increase their contribution to offset any bad feelings from offering a high deductible plan, says Sloane.
Another option, according to Richard Mann, Chief Product Officer at PlanSource, is offering a defined contribution toward benefits. Basically it’s a predetermined amount the employer agrees to contribute to each employee’s benefits spending.
“This helps employers control spending because the amount is fixed, but allows employees to use the amount in whatever way they think is best,” says Mann.
At the end of the day, knowledge may be the best way a small business owner can help their employees with their health-care costs. The whole idea behind these high deductible health plans is to get people to think before they get that test done or have blood drawn.
According to Sloane, arming employees with all the information about the plan, ensuring they know which doctors are in network and out of network, and all the benefits associated with the plan (including preventive care), can go a long way in keeping out of pocket costs down. It’s also a good idea to give employees access to the actual costs of health-care services, adds Mann. Knowing, for example, that the cost of a MRI can vary by as much as $1,000 will make employees more savvy consumers of health care, he says.
“It’s very valuable for the business to make an investment in the HR department and educate their staff as to how to keep claims down,” notes Sloane. “People need to pay more attention to health care. It’s not as simple as it used to be.”
What Laws Relate to Antidiscrimination in the Workplace?
Originally posted May 12, 2014 by Bridget Miller on https://hrdailyadvisor.blr.com.
No employer wants to be accused of discrimination. Employers strive to treat employees fairly and act without improper bias. To do this and also remain in legal compliance, it’s more important than ever to understand the various laws that protect employees from different types of discrimination.
Here are the primary U.S. laws at the federal level that have antidiscrimination components. (Note: This article focuses on the laws that apply to private employers and does not distinguish which also apply to government entities. There are additional laws pertaining to antidiscrimination for government employees.)
- Title VII of the Civil Rights Act (Title VII). This is the first law most people think of when it comes to antidiscrimination. Title VII protects employees and applicants from discrimination based on gender, religion, color, national origin, or race. It also makes it illegal for employers to retaliate against employees who take protected actions. It applies to employers with 15 or more employees.
- Age Discrimination in Employment Act (ADEA). The ADEA states that employers cannot discriminate against individuals over 40 years old in employment decisions or in any terms or conditions of employment. It applies to employers with at least 20 employees.
- Equal Pay Act. The Equal Pay act states that men and women who perform equal work at the same employer should receive equal pay, as long as the jobs they perform are completed under similar conditions and require equal skills, responsibilities, and effort. The job titles do not have to be an exact match for the rules to apply. This act applies to all employers.
- Americans with Disabilities Act (ADA) This act states that employers cannot discriminate against qualified individuals who are disabled. It includes those with a history of being disabled or who are perceived as disabled, even if this is an incorrect perception. It applies to employers with 15 or more employees.
- Pregnancy Discrimination Act. This act is an amendment to the Civil Rights Act. This amendment takes the prohibition of discrimination based on gender a step further and specifically prohibits discrimination based on pregnancy, childbirth, or any related medical conditions. As a part of the Civil Rights Act, it also applies to employers with 15 or more employees.
- Genetic Information Nondiscrimination Act (GINA). GINA prohibits employers from asking employees for genetic information or requiring them to provide it. It also says that any genetic information obtained (even inadvertently) must be kept confidential and cannot be used in employment decisions. It applies to employers with at least 15 employees.
- Immigration Reform and Control Act (IRCA). This act states that employers cannot discriminate on the basis of citizenship or national origin. It also makes it illegal for employers to knowingly employ workers who are not authorized to work in the United States. It applies to employers with at least 4 employees.
This list is not intended to be fully comprehensive; it simply contains the laws that are most commonly cited and enforced pertaining to antidiscrimination. Employers should also note that some state laws provide further protection than these federal laws. Always check local laws and confer with employment counsel with questions. (This article does not constitute legal advice.)
10 tips to help employees boost their retirement savings
Originally posted on https://ebn.benefitnews.com.
Even if they began saving late or have yet to begin, it's important for your plan participants to know they are not alone, and there are steps they can take to kick-start their retirement plan. Merrill Lynch has provided the following tips to help boost their savings - no matter what their stage of life - and pursue the retirement they envision.
1: Focus on starting today
Especially if you're just beginning to put money away for retirement, start saving and investing as much as you can now, and let compound interest have an opportunity to work in your favor.
2: Contribute to your 401(k)
If your employer offers a traditional 401(k) plan, it allows you to contribute pre-tax money, which can be a significant advantage; you can invest more of your income without feeling it as much in your monthly budget.
3. Meet your employer's match
If your employer offers to match your 401(k) plan, make sure you contribute at least enough to take full advantage of the match.
4: Open an IRA
Consider an individual retirement account to help build your nest egg.
5: Automate your savings
Make your savings automatic each month and you'll have the opportunity to potentially grow your nest egg without having to think about it.
6: Rein in spending
Examine your budget. You might negotiate a lower rate on your car insurance or save by bringing your lunch to work instead of buying it.
7: Set a goal
Knowing how much you'll need not only makes the process of investing easier but also makes it more rewarding. Set benchmarks along the way, and gain satisfaction as you pursue your retirement goal.
8: Stash extra funds
Extra money? Don't just spend it. Every time you receive a raise, increase your contribution percentage. Dedicate at least half of the new money to your retirement savings.
9: Take advantage of catch-up contributions
One of the reasons it's important to start early if you can is that yearly contributions to IRAs and 401(k) plans are limited. The good news? Once you reach age 50, these limits rise, allowing you to try to catch up on your retirement savings. Currently, the 401(k) contribution limit is $17,500 for 2013. If you are age 50 or older the limit increases by $5,500.
10: Consider delaying Social Security as you get closer to retirement
For every year you can delay receiving a Social Security payment before you reach age 70, you can increase the amount you receive in the future." The delayed retirement credits range from 3% to 8% annually, depending on the year you were born. Pushing your retirement back even one year could significantly boost your Social Security income during retirement.
Food: The quickest way to an employee’s heart?
Originally posted May 29, 2014 by Scott Woolbridge on https://www.benefitspro.com
Apparently, workers in the U.S. are hungry for food-based perks.
A new survey by Seamless, an online platform for ordering takeout or delivered meals, looked at what employees are saying about food in the workplace. And although a grain or two of salt might be appropriate with this dish, the results are thought-provoking.
In the survey, 57 percent of workers say food-based perks provided by employers would make them feel more valued and appreciated, 50 percent said food-based perks would make them more satisfied with their employers, and 38 percent said that food-related perks would make them more inclined to rate a company highly as a “Best Places to Work” survey. That last finding ranks food-based perks as No. 3 in importance, after flexible vacation policies and gym or yoga memberships.
Employers are responding to this: there was an 11 percent increase in the number of companies offering food-based perks to workers in the past year, the survey found.
The report also noted that nearly half the workers surveyed (48 percent), say they work late nights and weekends some or all of the time, but just 9 percent say they are reimbursed for meals while working extra hours. Fueling that productivity also makes for a more harmonious workplace, the survey suggests, with 40 percent of respondents saying food-based perks would improve communication and collaboration with other workers. And although health issues can be a concern when food is provided at the office, almost half (46 percent) of employees in the survey felt that increased food-based perks at the office would promote healthier eating habits.
“Employees are working longer hours, and in return they want to feel appreciated for their hard work. Companies want to increase profits, but improving employee productivity while recruiting and keeping talented professionals are top concerns,” the report says. “Food-based perks offer an accessible way for companies to strongly impact both employee satisfaction … and recruiting efforts.”
Workers may appreciate companies that provide food-based perks, but HR experts and health groups often raise warnings about eating at work, especially if employees don’t also have opportunities to be active or access to healthy food choices. This WebMD article has several suggestions for healthy eating at work, including watching portion sizes, mixing in activity during the day, and bringing home-made meals rather than ordering takeout (sorry, Seamless).
And a 2013 Healthways study of 20,000 American workers found that workers who ate healthy throughout the day are 25 percent more likely to have higher job performance. So providing food at the office can be a good thing — as long as the programs address health as well as hunger.