US Department of Treasury Archives - EMPLOYEE BENEFITS BLOG

HHS, Labor, and Treasury Finalize Mental Health Parity Rule

by Katie Waldo, Rachel Stauffer, Erica Stocker, Jeffrey Davis, Leigh Feldman, Julia Grabo and Maddie News | Sep 26, 2024 | Employee Benefits, Health and Welfare Plans, Mental Health Parity and Addiction Equity Act

On September 9, 2024, the US Departments of Health and Human Services , Labor, and the Treasury finalized a rule related to the Mental Health Parity and Addiction Equity Act. This rule introduces significant updates to mental health and substance use disorder benefits, ensuring parity with medical and surgical benefits. Key changes include enhanced protections against restrictive treatment limitations, clarified definitions, and new data evaluation requirements. These updates, effective from January 2025, are crucial for hospitals, health systems, and managed care providers.

Plan Sponsors, Insurers, and the Landmark Mental Health Parity Final Rule

by Alden Bianchi, Jacob Mattinson and Sarah Raaii | Sep 19, 2024 | Employee Benefits, Health and Welfare Plans, Mental Health Parity and Addiction Equity Act

The US Departments of the Treasury, Labor, and Health and Human Services recently issued much-anticipated final regulations under the Mental Health Parity and Addiction Equity Act (MHPAEA). The newly issued final regulations update the 2013 final regulations principally to reflect the changes to MHPAEA enacted by the Consolidated Appropriations Act, 2021, which requires plans and issuers to formally analyze and compare nonquantitative treatment limitations as they apply to both mental health and substance use disorder benefits and medical/surgical benefits.

The changes in the final regulations largely take effect in 2025, with the effective date for some provisions delayed until 2026. Although the final regulations may face litigation challenges, considering the recent decision in Loper Bright Enterprises v. Raimondo, health plan sponsors should plan to comply by the quickly approaching deadlines.

Fun For the Whole Family: More ACA Subsidies Apply

by Teal Trujillo and Jacob Mattinson | Nov 9, 2022 | Benefit Controversies, Health and Welfare Plans

On October 11, 2022, the US Department of Treasury (Treasury) and the Internal Revenue Service (IRS) issued final regulations to modify how affordability under the Affordable Care Act (ACA) is determined for an offer of coverage to a family member by an employer-sponsored group health plan, effective for the tax year beginning after December 31, 2022. By changing the affordability analysis to look at the total cost to cover family members—rather than the cost to only the employee—the new rule expands eligibility to receive premium tax credits (PTCs) in the ACA marketplace to an employee’s spouse and dependents.

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IRS Issues Updated Mortality Tables for 2018 – Impact on Pension Plan Sponsors

by Jeffrey Holdvogt and McDermott Will & Emery | Oct 24, 2017 | Employee Benefits, Employment, Retirement Plans

The IRS recently issued new mortality tables for 2018, which will likely increase pension funding liabilities for many plan sponsors. Plan sponsors should consider options to delay the use of the new mortality tables for funding purposes, while large plan sponsors should consider the option to utilize plan-specific mortality tables instead.

House Narrowly Passes American Health Care Act

by McDermott Will & Emery | May 9, 2017 | Benefit Controversies, Employee Benefits, Employment, Health and Welfare Plans, Labor

On Thursday, May 4, 2017, the US House of Representatives passed the American Health Care Act by the slimmest of margins with no Democrats voting in favor of the bill. Amendments to the original bill attracted more support from both moderate and conservative Republicans by the introduction of two amendments: one that gives more leeway to the states to request waivers from the more onerous provisions of the ACA that cannot be changed through the budget reconciliation process, and a second one that adds $8 billion of funding to the bill to help improve the “high-risk pools” that could be set up by states to provide coverage to individuals with pre-existing conditions who cannot find affordable insurance in the open market.

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IRS Regulations Provide That Certain Employees of Partnerships Now Have Self-Employment Status for Employee Benefit and Tax Purposes

by Jeffrey Holdvogt and Ruth Wimer | May 17, 2016 | Employment, Executive Compensation, Health and Welfare Plans

The IRS and US Department of Treasury have issued final and temporary regulations which address benefit and self-employment tax issues regarding partners in a partnership which is the sole owner of a second, wholly owned legal entity. The regulations are intended to clarify that where the partners are separately working for the second legal entity, such individuals may not be treated as employees, and must be treated as self-employed individuals for both self-employment and employee benefit plan purposes. As a result, the partners may not be provided the tax benefits provided employees with respect to benefit plans such as cafeteria plans, parking and transit benefits, health benefits and health insurance.

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