7 questions employees may ask about ACA 1095s
The 1095 forms are ready for employee distribution. While you may feel you've covered every base, youre employees will more than likely still have a few questions.
The International Foundation of Employee Benefit Plans offers a helping hand with 7 questions you're more than likely to hear, and a sample answer for each.
RELATED: IRS extends due dates for ACA information reporting
What is this form I’m receiving?
A 1095 form is a little bit like a W-2 form. Your employer or insurer sends one copy to the Internal Revenue Service (IRS) and one copy to you. A W-2 form reports your annual earnings. A 1095 form reports your health care coverage throughout the year.
Who is sending it to me, when, and how?
Your employer or health insurance company should send one to you either by mail or in person. They may send the form to you electronically if you gave them permission to do so. You should receive it by March 31, 2016. (Starting in 2017, you should receive it each year by January 31, just like your W-2.)
Why are you sending it to me?
The 1095 forms will show that you and your family members either did or did not have health coverage during each month of the past year. Because of the Affordable Care Act, every person must obtain health insurance or pay a penalty to the IRS.
What am I supposed to do with this form?
Keep it for your tax records. You don’t actually need this form in order to file your taxes, but when you do file, you’ll have to tell the IRS whether or not you had health insurance for each month of 2015. The Form 1095-B or 1095-C shows if you had health insurance through your employer. Since you don’t actually need this form to file your taxes, you don’t have to wait to receive it if you already know what months you did or didn’t have health insurance in 2015. When you do get the form, keep it with your other 2015 tax information in case you should need it in the future to help prove you had health insurance.
What if I get more than one 1095 form?
Someone who had health insurance through more than one employer during the year may receive a 1095-B or 1095-C from each employer. Some employees may receive a Form 1095-A and/or 1095-B reporting specific health coverage details. Just keep these—you do not need to send them in with your 2015 taxes.
What if I did not get a Form 1095-B or a 1095-C?
If you believe you should have received one but did not, contact the Benefits Department by phone or e-mail at this number or address.
I have more questions—who do I contact?
Please contact _____ at ____. You can also go to our website and find more detailed questions and answers. An IRS website called Questions and Answers about Health Care Information Forms for Individuals (Forms 1095-A, 1095-B, and 1095-C) covers most of what you need to know.
5 reasons you could be tired all the time
Waking up after a solid night of sleep may have you feeling you can take on the world. That is until your energy drops and all you want to do is sleep at your desk.
Health.com suggests these 5 things could be zapping your energy levels.
1. Skipping Workouts
It may seem like the best thing to do is sleep instead of workout when you feel sluggish, but skipping your workout will work against you. A brisk 20 minute walk could help perk your energy level.
2. Dehydration
Next time you're feeling tired, grab a glass of water. The slightest bit of dehydration can send your energy levels dropping.
3. Skipping Breakfast
Breakfast may feel like a waste of time, but skipping breakfast is a bad idea. Food is fuel and your body burns fuel as you sleep. So, when you wake up, you need to fill your tank back up.
4. Drinking before Bed
A nightcap may help you fall asleep, but it could also wake you up during the night. 0
5. Checking Email in Bed
Wrapping your day may mean a last minute check of emails. However, you may want to do so before you get into bed. The bright light from your smartphone or tablet can interfere with your bodies natural sleep/wake cycle.
Employers advised to prepare for questions on ACA reporting forms
Original post by Andrea Davis, ebn.benefitnews.com
As employers prepare to distribute Forms 1095 to employees by the newly extended IRS deadline of March 31, they should brace for increased questions from employees about the new forms.
In Notice 2016-4, issued by the IRS on Dec. 28, the agency extended the deadlines for both providing individuals with the reporting forms required as part of the Affordable Care Act and for filing them with the IRS, although it also said “employers and other coverage providers are encouraged to furnish statements and file the information returns as soon as they are ready.”
In the year-end notice, “the IRS indicated to employers that there’s going to be no more extensions,” says Laura Kerekes, chief knowledge officer with ThinkHR Corporation. “This is already more generous than what the initial filing extension was. The feeling is that you better get these done and into the government.”
The IRS notice also provides guidance to those who might not receive a 1095-C by the time they file their 2015 tax returns, saying people can rely on information they’ve already received from their employer outlining whether they’re enrolled in employer-sponsored coverage or not.
“That’s pretty important for employers to just make note of and maybe get ahead of with communication to their employees to say the filing deadlines have been extended so the company will not have your 1095-C done,” says Kerekes, adding employers can let employees know “this is the information we've already provided you, you can rely on it when you're working on your taxes and filing by your April 15 deadline.”
And while employers with more than 50 full-time employees need to compile data for the new forms to demonstrate employee healthcare coverage offerings under the ACA, two-in-five employers say they are unfamiliar with these forms altogether, finds a recent study from ADP.
“The good news is that 60% were highly or very familiar with the 1094-C and were working on it,” says Vic Saliterman, senior vice president and general manager of ADP’s healthcare reform business. “The fact that, given the nature of the way the law is written and the penalty, 40% were not familiar [with the forms] was certainly concerning.”
More than half (52%) of midsized businesses and 45% of large employers are unsure if they’re at risk of violating ACA compliance requirements this year and nearly one-in-five employers think they are at risk of not complying with Form 1095-C requirements, according to the ADP report.
401(k) plan participants saving more, taking out less
Original post by Paula Aven Gladych, ebn.benefitnews.com
The educational efforts of plan sponsors appear to be paying off. Participation rates in workplace retirement plans have stayed fairly constant since 2008 “due to concerted education efforts of plan sponsors and providers that set up to educate investors to stay the course through the market fluctuations,” says Hattie Greenan, director of research and communication for the Plan Sponsor Council of America.
In its 58th Annual Survey of Profit Sharing and 401(k) Plans, PSCA found that plan sponsor efforts in this arena really did keep people saving in their retirement plans.
“They may have decreased their savings rate due to economic conditions but we have seen a rebound to higher levels as people understand how plans work and realize they need to save more in their plans if they can,” she says.
In 2015, lower-paid plan participants contributed an average of 5.8 percent of their salary into their 401(k) plan, while higher-paid participants contributed an average of 6.9 percent of their salary to their workplace retirement plan.
Plan sponsors are also re-examining their 401(k) plan deferral rates. Three percent has been the standard deferral rate for years but many companies are now choosing a higher deferral percentage, in the range of 5 percent to 6 percent.
Many companies are actually pushing 10 percent to 15 percent, Greenan says. “We are shifting higher, which is good news. We may see it hit 6 percent or higher in the next couple of years.”
The survey also found that there has been a decreased usage of plan loans over the past year. A very low percentage, 0.7 percent of all assets, has been withdrawn from workplace plans and the bulk of those loans are being repaid, Greenan says.
“We’ve always been a proponent of plan loans as an incentive to participate in the plan. They know the money is available to them if they need it. It is their money and there in an emergency situation if they need it,” she says.
And while plan participants did take loans from their retirement plans during the downturn, that rate is going back down.
“The loans are functioning as intended: a safety net in emergency situations, and they are repaying those loans. They are not taking money out and abusing the system,” she says.
Another highlight of the survey was the increase in use by plan sponsors of mobile technology to communicate with a younger demographic of employees. Twenty-one percent of all plans and one-third of plans with more than 5,000 participants are using mobile technology to do everything from handle enrollments to making investment changes.
“I think it took a while for the industry to figure out how best to use the technology everyone is using,” says Greenan. “Now there are platforms for doing so, so we will see a pretty steep uptake in technology to reach plan participants in the next couple of years.”
As far as 401(k) plan design goes, more companies are offering Roth options and automatic features, such as auto enrollment and auto escalation. The increase in 2015 wasn’t quite as dramatic as in previous years, but those numbers are still increasing.
Paula Aven Gladych is a freelance writer based in Denver.
Don't kick that resolution to the curb just yet
Just a few weeks into the new year and many of you may have or may be thinking of abandoning those grand New Year's Resolutions you set at the beginning of the year. But don't quit just yet!
In 2012, Time magazine listed the top 10 most broken resolutions. In no particular order, they are:
- Lose Weight and Get Fit
- Quit Smoking
- Learn Something New
- Eat Healthier and Diet
- Get Out of Debt and Save Money
- Spend More Time with Family
- Travel to New Places
- Be Less Stressed
- Volunteer
- Drink Less
The majority of the resolutions are health related. According to the Forbes.com article, "Making New Year's Resolutions That You Can Actually Keep", broken resolutions often have the same traits.
Are too vague, too general and not specific enough: For instance, when you say “get fit,” do you mean fit like international football star Cristiano Ronaldo? Or just being able to walk up the stairs without vomiting? If it is Cristiano Ronaldo fit, well, good luck, because it could be that such resolutions…
Are too grand to be achievable: Chances are you are not going from couch potato to six-pack in one year. (Although you may go from your couch to get a six-pack of beer.) Be realistic and take smaller steps.
Focus on changing the result and not the causes: If you work in a doughnut factory, live above a doughnut shop, socialize with doughnuts and have friends who binge on doughnuts, then perhaps…just perhaps…your circumstances are contributing to your eating doughnuts.
Do not enlist the necessary social support: Ringo Starr once sang that you “get by with a little help from your friends.” (He also sang that you “get high with a little help from your friends.”) Those around you affect what you do. Without wing-men and wing-women to help, it may be tougher to cut down on buffalo wings.
Do not include enough immediate incentives: As Neidermeyer, in the movie Animal House, once said, “You’re all worthless and weak!” It is much easier to give into immediate urges than to maintain long-term goals. So if following resolutions does not bring at least some immediate positive effects, you are less likely to follow them.
So, how can you create resolutiosn you can keep. Here's the tips from that Forbes.com article:
- Read food labels and know what is in your food and beverages. Seeing the actual ingredients alone may help you make changes. For example, have you seen how much salt is hidden in food? And when I say labels, I mean the official nutrition labels.
Sever an unhealthy relationship (e.g., someone who is unsupportive, abusive, or a bad influence). - Establish a new relationship or strengthen an existing one with someone who helps you be healthier and happier.
- Join a sports class or league.
- Start walking, cycling or taking public transportation to work.
- Choose a specific volunteering event that is convenient and helps you do something that you enjoy.
- Replace one unhealthy food or beverage that you eat regularly with a healthy alternative (e.g., nuts instead of candy, water instead of soda).
- With your friends, identify one regular social event that is unhealthy and determine how to change the event (e.g., change where you regularly go out to eat).
- Tell your significant other, friends, co-workers or doctor about an unhealthy habit that you’d like to eliminate.
- Choose with your family or friends a single resolution that you can achieve together.
- Finally, making too many resolutions can initially seem attractive but decreases the chances of each sticking. Don’t make your resolutions like some marriages. (Mickey Rooney, who got married eight times once said, “Always get married early in the morning. That way, if it doesn’t work out, you haven’t wasted a whole day.”)
In life, small successes can have a way of cascading to subsequent larger ones. If you can keep at least one or two resolutions that you make, then 2016 could be a memorable and healthy year.
Signs your body is burning out and tips to relax
It's often easy to determine your stressed out. But too much stress can lead to burnout. The Health.com article, "7 Subtle Signs You're Burned Out," pinpoints what you may be overlooking as burn-out and not just another health issue.
"Our bodies try to tell us to slow down, and we just don't listen," says Alice Domar, PhD, founder of the Domar Center for Mind/Body Health in Waltham, Mass. "If you ignore the distress signals for too long, they can turn into health problems."
You keep drawing blanks
When you're under stress, your adrenal gland pumps out cortisol, and research has shown that this fight-or-flight hormone can hinder your powers of recall, making it tougher to access stored facts (including so-and-so's name and where you left your phone).
Add late nights or insomnia to the mix and your recollection may get even slipperier. "During sleep, your brain replays whatever you learned that day and moves it into long-term storage," explains Sandra Ackermann, PhD, a postdoctoral researcher in biopsychology at the University of Zurich. If you don't get enough shut-eye or you go to bed with your cortisol levels still spiking, that process of encoding details is disturbed.
Your cuts take forever to heal
Whether you graze your knuckle with a vegetable peeler or develop a nasty blister on a long-distance run, expect to wear a Band-Aid for a while if you're overtaxed.
"When you get an injury, your immune system engages right away, sending signals to produce collagen, form a blood clot and recruit cells to protect against germs," explains William Huang, MD, assistant professor of dermatology at Wake Forest University School of Medicine in Winston-Salem, N.C. "But when you're stressed, your body has higher levels of chemicals called glucocorticoids, which suppress your immune system and make healing slower."
Researchers from Ohio State University studied this effect in the caregivers of dementia patients: They found that people shouldering such responsibility healed 24 percent more slowly than those in a control group.
Your cramps are lethal
You already know that stress can make your period late. That's because when the hypothalamus, the regulatory center of the brain, senses that your body is running on empty, it can delay the release of an egg, shifting your whole cycle offtrack.
But for some women, feeling frazzled may make PMS worse as well. In a National Institutes of Health study, researchers followed 259 women for more than a month and quizzed them on how often they felt, for example, nervous or not in control of their lives. Those who reported more stress early in their cycle were more likely than relaxed women to have moderate to severe symptoms before and during their period. (Because killer cramps are just what you need right now.)
Your GI tract protests like whoa
Christa Reed, from Park Ridge, Ill., had always had a stomach of steel. But about nine months into a TV news gig that required her to be on-site by 3 a.m., she was diagnosed with gastroesophageal reflux disease. Her doctor prescribed a modified diet and more sleep. Six months later, the pain was worse.
"Instead of carrying lip gloss and gum in my purse, I had Tums and Pepto Bismol," says Christa, who was then 27. "My doctor told me that if I didn't get more rest, I'd end up with esophageal cancer." So she decided to quit her job, and within two weeks, the reflux was gone. Christa's story is far from unusual.
"Stress can alter gut secretions and slow or speed up digestion, causing problems like reflux, nausea, constipation or diarrhea," says Michael Gershon, MD, professor of pathology and cell biology at Columbia University and author of The Second Brain.
There may be farther-reaching consequences as well: "When anxiety disrupts digestive processes, the gut's microbiome may begin to change," explains Dr. Gershon. "The presence or absence of different bacteria can influence the strength of your entire immune system, your weight, even your mood." The good news: A little R & R can help restore the balance of bugs in your belly.
You can't stop scratching
In response to any sort of trauma or pathogen, the skin's nerve endings release chemical signals called neuropeptides that communicate "Houston, we have a problem" to the brain. Weirdly, a looming deadline or crammed social calendar can activate the same messengers—resulting in inflammation that makes you feel itchy.
"The skin is a dynamic organ, and skin and stress have a complicated interplay," says Dr. Huang.
Your dreams are downright wacky
If your sleep scenes play out like Dancing with the Stars-meets-The Walking Dead fan fiction, you may need a lot more shut-eye. People who are sleep-deprived tend to have more intense dreams, though experts aren't entirely sure why.
One possible explanation: When you're not getting enough rest, your brain prioritizes REM sleep—the most restorative stage, which also happens to be when dreams occur.
"Typically, REM sleep doesn't begin until about 90 minutes after you fall asleep," says Joyce Walsleben, PhD, associate professor at the Sleep Disorders Center at NYU School of Medicine. "But if you're exhausted, the brain can get there in as few as 10 minutes."
Throughout the night, it will cycle quickly through the other two stages of sleep to make up for the deficit in REM, which means more time for creative nocturnal imaginings to unfold.
Plus, if you're stressed-out and sleeping fitfully, you're more likely to wake up middream, or just after one, and remember the details vividly—especially if it involved, say, flamenco-dancing zombies.
Your head pounds on Saturdays
After a brutal week at the office, the weekend feels like a gift from the gods. You sleep in, enjoy a leisurely brunch and then...develop throbbing pressure in your skull?
"We're not exactly sure why, but migraines are sometimes triggered by the letdown after a period of stress rather than the stress itself," explains Peter Goadsby, PhD, a neurologist who specializes in headache disorders at Kings College London.
The effect might be the result of a sharp drop in cortisol. Who knew?
POSES FOR PEACE
Your brain and body are screaming for z's—but stress is keeping you up at night. Help! This simple yoga series from celebrity instructor Mandy Ingber can help relax your mind for better rest.
1. Easy seated pose with alternate-nostril breathing
Sit on the floor, legs crossed. Use your right thumb to close your right nostril. Inhale through your left nostril. At the top of the inhale, close your left nostril with your right ring finger and release right nostril. Exhale and inhale through your right nostril. Close right nostril again and exhale through left nostril. Repeat the sequence 16 times.
2. Reclining Pigeon Pose
Lie on your back, knees bent and soles of feet on the floor. Cross right ankle over left knee. Clasp your hands behind left hamstring and draw thigh toward your torso. Hold for up to two minutes, breathing deeply. Switch sides.
3. Legs-up-the-wall pose
Sit by a wall with right hip and shoulder touching it, knees bent. Roll onto your back and extend legs up the wall. Stay here for 5 to 10 minutes. "This mellow inversion reverses blood flow, encourages lymphatic drainage and brings renewed blood to your heart," says Ingber.
TENSION-BUSTING TIPS THE PROS USE
"I've created little cues to remind myself to take breaks. Now, whenever I'm stopped at a red light, or whenever I glance at the clock at work, I practice diaphragmatic breathing." —Alice Domar, PhD
"Some whole foods can actually help you handle stress better. Berries, red bell peppers and kale are all good sources of vitamin C, which helps regulate cortisol. And avocados contain loads of potassium, which helps keep your blood pressure healthy."—Wendy Bazilian, RD
"For the best sleep, you have to find a way to separate the day from the night. That might mean taking a quick shower before bed or starting a new bedtime routine, like writing in a journal or doing some yoga."—Joyce Walsleben, PhD
Many employees unaware of hypertension
Original post ebn.benefitnews.com
Some of the biggest annual price tags for employers include stroke and coronary artery disease, and many employees may be unaware they are at risk.
New research published in the Journal of Occupational and Environmental Medicine and released by Health Advocate shows that more than two-thirds of employees (68%) whose hypertension was discovered during workplace health screenings didn’t previously know they had the condition.
The study analyzed more than 31,000 members of self-insured employer group plans. In addition to the high percentage who had undiagnosed hypertension, the study said prescriptions for hypertension medications spiked following the screenings, indicating that plan members were quick to respond to the bad news.
“It’s a reminder that we’ve known for a long time that the most cost effective screenings you can do is for blood pressure,” says LuAnn Heinen, vice president, workforce well-being, productivity, and human capital at the National Business Group on Health. “They’re easy to do and can be done by onsite clinics and kiosks, or it can be part of a broader biometric screening.”
The study also looked at other factors and characteristics that may increase the risk of an employee having undiagnosed hypertension. Specifically, the study noted that obese patients have a 155% greater risk of having undiagnosed hypertension.
“Hypertension becomes particularly concerning, especially when combined with sedentariness, smoking, diabetes, obesity and a poor diet,” Heinen adds.
Some of the common steps employers are taking to combat hypertension, and enhance overall well-being, include providing fitness facilities, learning programs and tobacco cessation programs.
“Our analysis shows the value and necessity of these onsite health screenings for both organizations and their employees,” says Antonio Legorreta, president of engage2Health, Health Advocate’s health informatics division. “By identifying issues like hypertension sooner, employees can access appropriate treatment earlier, leading to improved health outcomes and reduced costs.”
Online job searching has doubled since 2005
Original post by Roy Maurer, shrm.org
U.S. job seekers are as likely to look for jobs online as they are to rely on friends and other contacts for connections to the job market, according to a recently released survey.
The survey on the job search methods of 2,001 U.S. adults by the Pew Research Center found that a majority of Americans (54 percent) have researched jobs on the Internet, and nearly as many (45 percent) have applied for a job online. That’s more than double the number from 2005, when 26 percent of Americans told Pew they had used the Internet to look for jobs.
Of recent job seekers—defined as the 34 percent of Americans who’ve looked for a job in the last two years—79 percent reported using resources or information they found online, while 80 percent used professional contacts and personal connections to find work.
“It’s an essential message for recruiters: Job seekers are getting their information about your jobs and your company from the Internet,” said Aaron Smith, associate director of research for Pew.
“I have been sourcing candidates online since 1997 and it has become incredibly easy to locate candidate information online with the boon of social media,” said Kelly Dingee, director of strategic recruiting at Staffing Advisors, a search firm headquartered in the Washington, D.C., area.
Recent job seekers also used employment agencies (32 percent), print advertisements (32 percent) and job fairs (28 percent) to find work.
Americans with higher educational levels are especially likely to use the Internet to seek employment, the survey found. Nearly 9 in 10 (88 percent) of those who are college graduates went online to look for a job, compared with 77 percent of those who attended but didn’t graduate from college, and 69 percent of those who’ve never been to college.
Those who are better educated were also more likely to have relied on professional connections in their most recent job search. Nearly three-quarters (72 percent) of college graduates did so, compared with 59 percent of those who’ve attended but not graduated from college, and 57 percent of those who’ve never attended college.
Some Lack Confidence in Online Job Search Skills
These days, many resources for job seekers are posted online and employers often expect applicants to find and apply for jobs using the Internet, e-mail or mobile applications.
“Employers push jobs out everywhere, through every social media outlet, job boards, their websites and so on,” Dingee said. “For a job seeker who just wants to take a look and see what’s available, the challenge now is, ‘Where do I look? Google? LinkedIn? CareerBuilder?’ ”
Pew found that a sizable minority of Americans lack confidence when it comes to basic computer-based job search skills such as creating a resume for online use, using e-mail to contact potential employers or filling out a job application online.
Some 17 percent of Americans said it wouldn’t be easy for them to create a resume for online use. Another 21 percent said it wouldn’t be easy to highlight their employment skills using a personal website or social media profile. Roughly 1 in 10 said it would be difficult to find available jobs online or fill out a job application online, use e-mail to contact or follow up with a potential employer, or look up online services that assist job seekers. The percentages were larger among those who have not attended college and those who are currently unemployed.
Dingee stressed the importance of creating a professional online profile. “A LinkedIn profile is a no-brainer,” she said. It should be detailed and users should spend time cultivating a network. “Many employers enable job seekers to submit their LinkedIn profile or a resume these days. Imagine if you’re applying from a mobile phone, which is easier to submit?” Dingee asked.
Don’t Overlook Growing Mobile and Social Opportunities
The percentages of Americans searching and applying for jobs using mobile devices and social media is the survey’s other big takeaway.
Some 28 percent of job seekers—including 53 percent of 18- to 29-year-olds—have used a smartphone as part of a job search. Among these Americans who have looked for a new job in the last two years:
- 94 percent have used a smartphone to browse or research job listings.
- 74 percent have used a smartphone to e-mail about a job.
- 50 percent have used a smartphone to fill out an online job application.
- 23 percent have used a smartphone to create a resume or cover letter.
“Mobile use will continue to change recruiting,” Dingee said. “As recruiters we have to make it easier for job seekers to find, apply for and share the jobs we have available.”
More than 1 in 3 social media users have relied on social media to research jobs and have used social media to tell friends about available jobs where they work. About 1 in 5 have applied for a job they learned about through social media, and 13 percent of social media users say information they’ve posted on social media helped them get a job.
“Younger users are especially active at utilizing these platforms for employment-related purposes, but many older users are taking advantage of social media when looking for work as well,” Smith said. “Roughly one-quarter of social media users ages 50 and older have used these platforms to look for work or to let their friends know about job openings, and 11 percent of older social media users have applied for a job they first found out about on social media.”
10 best states for employer-provided retirement plan participation
Original post benefitspro.com
Where you live makes a big difference when you’re trying to save for retirement. It’s not just a matter of a state’s cost of living, or taxation on retirees, or even how well or poorly educated its citizens are financially.
Instead, according to analysis from the Pew Charitable Trusts, it’s access to, and participation in, a retirement plan—which varies greatly depending on locale.
In its report “Who’s In, Who’s Out: A Look at Access to Employer-Based Retirement Plans and Participation in the States,” Pew found that both access and participation are highest in the Midwest, New England, and parts of the Pacific Northwest, but lower in the South and West.
In addition, Hispanic workers are at a disadvantage compared with white non-Hispanics, with just access to a plan for the former running 25 percentage points behind the latter.
Black and Asian workers also have less access to a plan than non-Hispanic whites.
For a look at the 10 best states for participation in an employer-provided retirement plan, read on.
1. Minnesota
With a 69 percent rate of access to employer-provided plans, Minnesota has a 61 percent participation rate.
Nationally, the access rate is just 58 percent, which means Minnesota stands out nearly at the top with the second-highest rate in the country.
And Minnesotans take good advantage of it—they’re tied for the highest participation rate nationally.
2. Wisconsin
Wisconsin’s rate of access is even higher than Minnesota’s, at 70 percent, but its residents participate at the same 61 percent rate.
Sadly, although that rate of access is high, it means that more than 400,000 workers did not have access to a plan.
And another tidbit in the good-news-is-still-bad-news category: the report also said, “the estimate of the number of workers without access to a workplace retirement plan is conservative, because the analysis focuses only on full-time workers employed throughout the year. About 18 percent of those who are employed work part time; retirement plan access and participation are substantially lower among part-time and seasonal workers.”
3. Iowa
With a 68 percent rate of access and a 59 percent participation rate, Iowans are still fortunate to be in the top 10.
It’s also the state with the smallest percentage of workers employed in the leisure and hospitality industry, which doesn’t have a terrific track record of providing retirement benefits for its workers.
In fact, out of nine employment sectors ranked last July, it was at the bottom—with just 23.3 percent of the sector’s firms providing access to a retirement plan.
And only 34.5 percent of the sector’s employees with access actually manage to take advantage of it.
4. North Dakota
Sixty-eight percent of North Dakota firms provide a retirement plan for their employees, and 59 percent of the state’s employees avail themselves of the opportunity.
The good news here is that North Dakota has the fifth largest worker population under the age of 30—and a high participation rate in this state implies that young workers are actually managing to save something for their retirement.
That’s not something millennials are generally known to do.
The report said, “The gap between access and participation proved largest among the youngest workers, many of whom face savings challenges even when they have access to retirement plans.”
5. Connecticut
Considering that almost half of Connecticut’s workers are between the ages of 45–64, it’s a good thing that the state has 66 percent of employers providing access to a plan, and 58 percent of employees participating.
The Northeast in general has a higher concentration of older workers.
Connecticut is also fortunate in that it’s among the 10 states with the lowest number of workers with limited education—just a high school diploma or less.
The less educated a worker is, the more likely he is not to have access to an employer-sponsored retirement plan—and participation follows the same pattern.
6. New Hampshire
With 66 percent of New Hampshire’s employers providing a retirement plan, and 58 percent of employees participating—the same levels in each as in Connecticut—the state also stands out for having the second-lowest number of jobs in the leisure and hospitality industry, known for its poor numbers in providing access to retirement plans.
It also has the lowest percentage of workers (12 percent) who make less than $25,000 annually in wage and salary income.
That’s fortunate for workers, since only about 32 percent of those in that income bracket even have access to a plan and only 20 percent of those with access say they participate.
7. Indiana
Indiana distinguishes itself with the highest “take-up” rate in the country: the percentage of workers who reported having access to a workplace retirement plan and were participating in that plan.
Overall, 63 percent of the state’s employers provide access to a plan, and 57 percent of the state’s workers participate in one—but, among the population with access to a plan (as opposed to all workers within the state), 90 percent of those in Indiana participate.
But, the study cautions, that doesn’t necessarily mean that they’re saving for retirement.
Pew pointed out that “many Americans use retirement plan savings for purposes other than retirement” and “[m]any people withdraw savings before retirement to meet large expenses, such as buying or repairing a house, consolidating bills, or paying educational and medical costs.”
8. Delaware
Delaware, with 63 percent of its employers offering a plan and 56 percent of its workers participating in one, has more than the median percentage of workers with a high school diploma or less.
There are fewer than the median percentage of workers with wage and salary incomes of $25,000 or less in Delaware, which undoubtedly helps its participation rate.
Its workers also tend to be older; it has fewer than the median percentage of workers under age 30.
9. Kansas
Kansas has the third highest percentage of workers under age 30—more than a quarter of its workforce.
Yet it still has a high participation rate of 56 percent, and 66 percent of its employers provide access to a plan.
10. Maine
Sixty-seven percent of Maine’s employers provide access to a retirement plan for their workers, and 56 percent of Maine workers participate in a plan.
The state also is one of the Northeast states with a high concentration of workers aged 45–64. Fewer than 5 percent of its workers are Hispanic.
Wellness program wins in federal courtroom
Employers use wellness programd to encourage employees to be aware and in control of their health.
The implementation of wellness programs have come under fire from the Equal Employment Opportunity Comission in the last several months. Lawsuits filed by the EEOC claim wellness programs that require health risk assessments violate the Americans with Disabilities Act.
One of the claims raised involved Wisconsin based Flambeau, Inc., and the decision in the case stands in favor of the wellness program.
As laid out by the National Law Review, the manufacturing company mandates employees to complte a health risk assessment and biometric screening to be eligible for its health plan. If an employee does not complete the requirement, then the employee becomes responsible for the full premium in order to stay covered.
The EEOC alleged in the lawsuit that when an employee did not complete the assessment and biometric testing, Flambeau cancelled his medical insurance and shifted the responsibility of the entire premium cost to him.
The EEOC argued that the biometric testing and health risk assesment constituted "disability-related inquiries and medical examinations" that were not job-related and consistent with business necessity as defined te the ADA. The EEOC also argued the plan was not a "voluntary" plan and that Flambeau did not qualify for the "safe harbor" protections set forth by the ADA.
In her ruling, U.S. District Judge Barbara Crabb ruled Flambeau was not in the wrong in implementation if its voluntary company subsidized health insurance plan. The judge ruled Flambeau fell under the law's "safe harbor" provisions because the mandatory health assessment and biometric testing were conditions for employees to voluntarily receive the insurance offered by the company.
This decision applies to wellness programs that are part of the employer's benefit plan. How it applies to stand-alone or other wellness programs is not seen at this time.
The EEOC may seek out an appeal in the case.