Benefits compliance, included
POP, COBRA, ERISA and Form 5500 explained in plain English – and handled for you at no extra cost.
Compliance is paperwork – we handle it
Very few employers set out to be non-compliant. Usually the plan document was never written, the SPD never went out, the COBRA notice ran late, or nobody noticed the Form 5500 threshold.
None of it is complicated once someone owns it – at AIS, we own it. Every client gets the four programs below, and we will tell you honestly which ones apply to a group your size.
Questions first? Skip straight to the frequently asked questions.
Premium Only Plan (Section 125)
Pre-tax premium deductions lower taxable wages for employees and reduce the employer's payroll tax base. The paperwork is what makes it legitimate.
What it is
A written Section 125 cafeteria plan
- Employees pay their premium share with pre-tax dollars
- No written POP document means after-tax deductions
Who it applies to
- Employers deducting insurance premiums from employee paychecks
- Applies at five employees or five hundred
What AIS does for you
- POP document and plan materials prepared, maintained
- Payroll setup requirements spelled out
- Refreshed when the law or your plan changes
COBRA continuation coverage
Missed or late COBRA notices are one of the most common and most expensive benefits compliance failures, and the exposure sits with the employer.
What it is
Continuation coverage after a qualifying event
- Termination, reduced hours, divorce, dependents ageing off
- Group health coverage continues for a limited period
- The rules are mostly notices and deadlines
Who it applies to
- Generally employers with 20 or more employees
- State "mini-COBRA" rules reach smaller groups
- Texas continuation coverage is one example
What AIS does for you
- Qualifying-event notices tracked: what, to whom, when
- Terminations processed with the COBRA step attached
- Never the thing forgotten in a busy week
ERISA plan documents and SPDs
A participant or the Department of Labor can request the plan document. Not having one, or handing over a stack of carrier booklets instead, is a finding.
What it is
A written plan document plus an SPD
- ERISA welfare plans need a written plan document
- Participants must receive a Summary Plan Description
- A carrier certificate alone is not one
- A "wrap" document pulls insured benefits together
Who it applies to
- Nearly every private-sector employer sponsoring benefits
- Health, dental, vision, life and disability plans
- Church and governmental plans are the main exceptions
What AIS does for you
- Wrap plan document and SPD produced
- Kept current as plans are added or changed
- Distribution requirements and timing spelled out
Form 5500 annual return
Late filing penalties accrue per day, per plan. The filing itself is routine; missing it is not.
What it is
The annual Department of Labor report for an ERISA plan
- Summarises plan, participants and insurance contracts
- Filed electronically through EFAST2
Who it applies to
- Welfare plans with 100+ participants at year start
- Funded plans regardless of size
- A wrap document can mean one filing
What AIS does for you
- Filing threshold tracked for your plan
- Carrier data gathered, return and Summary Annual Report prepared
- Filed on schedule, extension included where needed
All four, at no extra cost
Premium Only Plan documents, COBRA support, ERISA wrap documents and Form 5500 filing help come with the benefits program AIS services for you. There is no separate compliance subscription and no per-document charge.
Questions HR managers ask us
This page is general information about federal benefit rules, not legal or tax advice. Thresholds, deadlines and exemptions depend on your specific plan and workforce. Ask us and we will look at your situation directly.