Chances are, you signed up for your 401(k) program and haven’t looked at it in a while. Possibly a long while. If this sounds like you, it’s time to rethink your old 401(k) because there are new and better options available.

Smaller business owners often take advantage of what is called a “pooled plan” or Multiple Employer Plan (MEP) for retirement savings, where several unrelated companies participate in one retirement fund that is administered by an overseeing party or trustee known as the sponsor, who has fiduciary responsibility for that plan.

Related: Multiple Employer Plan Definition

The “Bad Apple” Rule

In 2021 the rules become more favorable to pooled plan sponsors. One is called the “bad apple rule.” In the past, the sponsor of the MEP had to be careful to make sure that all participants in the plan, sponsors and co-sponsoring companies acted appropriately. If one participant failed, it could spoil the whole pool for all participants, like a bad apple in a barrel.

An example of a failure could be that one of the participants did not make their contributions on time. If the plan stated that an employee was eligible for benefits after a 60-day trial period, and at 90 days that employee realized they weren’t told that they could participate in the plan, that entire plan could be tainted, and all participating companies in the MEP could suffer the consequences. The sponsor had to keep on top of each participant to ensure that all aspects of the plan were constantly met. This took time and effort, and things could potentially slip through the cracks.

With the new rules, starting January 1, 2021, the sponsor has the ability to remove a company from the pool if conditions are not met, thus avoiding tainting the entire pool.

Why a MEP 401(k) Plan is Good for Small or Medium-Sized Businesses

Pooled Resources Gives Better Options:

When it’s time to rethink your old 401(k) plan, consider enrolling in a MEP. By combining the assets of a group of companies, you get the same benefits and leverage as if you were a larger company with millions of dollars to assign.

Shared Administrative Burden:

Several companies can join together to offer their employees a tax-advantaged retirement savings plan.

Easy Enrollment:

You can enroll at any time, and don’t have to wait until year-end to make your decision.

Low, Low Yearly Fees:

For just $890 a year, you can participate in a MEP that is managed by us here at Benefit Providers/ECCA Payroll Services. We’ve been in business for decades providing outstanding benefits to business owners just like yourself, and know how to find the best plan for your needs.

Trust Your 401(k) Administration to Benefit Providers

As outside specialists in 401(k) planning, you have the benefit of more than 30 years of experience and reduced potential personal liability, along with faster, easier and less expensive administration with Benefit Providers. It’s worth taking a look at how a pooled plan, or MEP, can benefit your small to medium-sized business. We offer a free, no-obligation consultation.

Contact Benefit Providers/ECCA Payroll Specialists today at 703-370-2226 or info@benefitproviders.com to find out how you can benefit.

If you don’t know it, we’re huge golf fanatics around here, and when we came across this article titled “4 Business Lessons to Learn from Golf” authored by Natalie Chladek and published by the Harvard Business School, we had to share its insights. We thought they rang true and hope you do too. Here are some of the business lessons you can learn from golf that we excerpted from the article.

Business Lessons from Golf

1. Forget Mistakes and Focus on Your Next Shot

Not every shot in golf is a hole in one. There are many times when a slice or a bad lie puts a kink in your perfect game. “The best golfers realize they can’t go back and change their shot, and rather than agonizing over what is in the past, they focus their attention on making the best shot out of a bad lie,” Chladek says.

If you have devoted significant time and resources into building a business or product that doesn’t work, learn what you did wrong and look ahead to how you can make it better. Or put it behind you and focus on your next project. Don’t waste time or energy on failures.

2. Take Your Next Shot From Where the Ball Lies

Only in golf do players impose penalties on themselves. It is a game based on trust and honesty, and tournaments have been won or lost by a player voluntarily taking penalty strokes. “This dynamic generates a level of trust between playing partners, regardless of skill of ability level, and breaking that trust will likely leave you without a foursome in the future.”

Trust is a crucial element of any business relationship. Business lessons from golf teach us to look to share value and negotiate to find creative solutions. Breaking this bond of trust can harm your business now and long into the future.

3. Don’t Worry About Your Opponent; Play the Course

Worrying about what your competition is doing takes your eye and attention off your own chance to make your best shot. “Your biggest opponent is not your playing partner, but the environment of the course itself,” Chladek continues. “Understanding the landscape—which direction the wind blows, which holes play long, and how fast the greens are—should inform your strategy.” In both business and golf, focus on the big picture.

4. Drive for Show, but Putt for Dough

You can impress others by driving a ball 300 yards down the fairway, but your true game lies in how well you can close the deal. It’s the precision of the final putts that can make or break your score. “Splashy ad campaigns and big PR announcements will drive buzz, but if you neglect other details like a properly-stocked inventory, sound financials, and a strong team, you’ll struggle to achieve your goals.”

According to Harvard Business School Professor Joe Fuller, “General management is defined as coordinated action in pursuit of performance.” As the business owner or manager it is your job to oversee the entire business across multiple departments and levels, and to pursue performance to meet your goals. You need to be adept at both the driving range and the putting green.

Benefit Providers/ECCA Payroll Services Puts You on the Right Course

As in the business lessons from golf, you need to focus on the big picture—the course. And that’s where Benefit Providers/ECCA Payroll Services comes into play. By outsourcing your payroll, benefit, retirement plans and HR needs to us, you have the time and energy to view the course and plan your winning strategies. Working ON your business rather than IN it gets you where you need to be faster and more effectively.

We are glad to review your human resources, benefit, retirement and payroll needs and custom design services that work for you. Plus, we can show you how to save money along the way. Contact us today for a quote at 703-370-2226. Or visit us at www.benefitproviders.com.

When you own or run a business, some of the most time-consuming tasks are its payroll and human resources management, or HR. There are endless deadlines and paperwork, all of which has to be absolutely accurate. And yet, even with accounting or payroll software, the work is tedious and never-ending. But take heart, there is a solution to free yourself from this burden: outsourcing your payroll services.

Reasons to Outsource Payroll Services

There are a number of reasons why you should considering outsourcing your payroll services:

Time Savings

A reputable payroll solutions provider frees up the time and resources you are currently spend on processing payroll so you can concentrate on revenue-generating activities. Incorporation of time-consuming HR administrative duties like the processing of new hires or benefits administration can also be handled by your chosen resource.

Accuracy

Assigning the detail-oriented tasks of calculating payroll payments and deductions; tax payments and returns; and printing, signing and distributing paychecks to a professional firm ensures that your payroll processes will be done correctly. You can mitigate the occurrence of payroll errors with an experienced payroll service.

Payroll Details

Each employee’s paycheck differs due to their salary rate, tax withholding, and deductions, including retirement savings account contributions; child or spouse support payments; heath care; and vacation accruals. Calculating these takes time, but is a process that is easily outsourced.

Delivery Methods

How you currently distribute paychecks can vary; you may have employees receiving checks in methods such as direct deposit, mailed checks or hand-delivered. In all cases, paycheck stubs must be delivered to each employee. Your payroll service can coordinate paycheck printing, signing and delivery on your behalf.

Payroll Reporting

You receive reports summarizing your accounting activities on a scheduled basis, making end-of-year reconciliation and next-year planning easier.

Tax Responsibilities

Business owners are required to file quarterly tax reports that must calculate the correct amount of taxes withdrawn and due, along with a year-end tax statement to calculate any taxes still owed. Your payroll service will prepare the documentation and perform the on-time filing required for your yearly tax payments and returns.

Keep Up with Regulations

Government tax regulations can change, and without in-depth knowledge of taxes, business owners can miss important updates. Yet they are legally obligated to conform to those regulations.

Avoid Fines & Penalties

Failure to administrate your payroll processes accurately can result in sizeable fines and penalties when taxes are not calculated correctly.

Pass an Audit

Knowing that your payroll is handled correctly and accurately puts your mind at ease if and when your business is audited. In 2019, the IRS closed more than 1.9 million cases of underreported taxes, resulting in almost $6.7 billion in additional assessments. The best way to pass an audit is to keep impeccable records.

Outsource your Payroll to Benefit Providers/ECCA Payroll Services, Inc.

For payroll and tax-filing services you can trust, outsource your payroll responsibilities to Benefit Providers/ECCA Payroll Services. We provide a number of standard payroll features including direct deposit, and electronic tax filing; payroll services including quality reporting and cost-effective payroll management; and tax filing services for all federal, state and local filings.

As a full-service business solution, we also provide much more than just payroll services. Ask about our multi-services discount and visit our website to learn about benefits administration, retirement plans, HR services, and more. Contact us at 703-370-2226 for a quote.

If you have a small to medium-sized business, you may worry that you aren’t large enough to offer a retirement plan to your employees. We’re here to say that you can. With Benefit Provider’s Multiple Employer 401(k) (MEP) Plan, companies of any size can provide this benefit and offer their employees the protection and costs of a bigger plan.

What is a Multiple Employer 401(k) Plan?

A Multiple Employer Plan (MEP) is a retirement savings plan that joins two or more unrelated employers together that don’t have the resources individually, to enable them to offer their employees a tax-advantaged retirement savings plan. Each individual company’s plans are separate and individual.

A MEP run by an entity known as the MEP sponsor, which is responsible for administrative duties for the plan. Through the MEP, Benefit Providers can minimize the tax implications of providing their employees with certain types of benefits. Benefit Providers/ECCA Payroll Services is the trustee of the MEP, and carries the responsibility of managing the plan, with an independent third party fiduciary to provide extra security.

Benefits to You of your Multiple Employer 401(k) Plan

Truly Affordable 401(k) Plan, Year After Year

We only charge a low $890 annual administration fee (plus a one-time $600 setup fee), and with that, you receive all the benefits of a 401(k) plan. Plus, if you use our ECCA Payroll Services or any other services provided by Benefit Providers , you also receive a 10% multi-services discount, making the annual administration fee $800!

Accuracy Ensured

Another benefit of the MEP is that it must be audited every year, which keeps your accounting accurate. Your MEP administrator/sponsor, like Benefit Providers, takes on the responsibility of doing it right, thus taking that burden off your shoulders.

Take Advantage of the Multi-Year IRS Tax Credit

Take advantage of the IRS tax credit that can offset 50% of the total your cost of your MEP (using a 3-year average), up to a maximum of $500 each year for 3 years. This applies to most plans as a tax credit for some of the ordinary and necessary costs of starting a qualified plan. Contact Benefit Providers at 703-370-2226 or info@benefitproviders.com to see how you can qualify for this tax credit.

Your Employees Have the Tools at Their Fingertips

The Benefit Providers’ 401(k) plan is online, offering your employees 24/7 access to their accounts. In addition, we provide knowledgeable customer service specialists who can provide quick answers if you need assistance.

Flexibility and Customization

Each company’s plan within the MEP can have its own customized options available, and everyone can have their plan based on their needs. It is not one-size-fits-all. Using QuickBooks, we can integrate your plan into your existing payroll services or software.

While the MEP is designed for small 401(k) plans, Benefit Provider has solutions for the medium-asset-sized plans as well. Look for new benefits in 2021!

401(k) Retirement Plans from Benefit Providers

Since 1998, Benefit Providers has been providing benefit administration and benefit services. “I work with the business owner to create a retirement plan with the best terms,” said Joel Bernstein, CEO of Payroll Benefits/ECCA Payroll Services. “Most employers we speak with are unaware of what options are available to them, and how these options can change over time. We can determine whether it is worth it for the employer to have a 401(k) plan based on the percentage of employee participation and contributions, and come up with a strategy to make it available.”

At Benefit Providers/ECCA Payroll Services, we are experts in Retirement Plans, Benefits Administration, HR and Payroll Services. We’re here to provide you with the tools to attract and keep valued employees. Contact us today to learn more.

One of the big draws for any employer is the benefits it offers to its employees. Health care being one of most appealing. Here are some of the types of self-funded health care plans you can provide.

HRA: Health Reimbursement Account

You, as the employer, set aside a fixed amount of money into the Health Reimbursement Account (HRA) each year for your employees to use. The money is available at the beginning of each year, and funds may roll over to the next year, depending on your plan. The account is funded by the employer only.

This plan can pair with your FSA Account, with funds coming out of the FSA first up to the available balance, and then rolling into this account for qualified medical purchases including co-pays and coinsurance. HRAs can also be used to purchase common health care expenses like over-the-counter items.

Employer Benefits:

• No need to pre-fund the account; contributions can be made monthly, quarterly or annually
• You determine contribution timetable
• You determine contribution and rollover amounts
• You determine allocation of unused funds upon termination or retirement
• Ability to reimburse employees from tax deductible dollars
• Can be customized to meet your needs

FSA: Flexible Spending Account

A Flexible Spending Account (FSA) is a self-funded health care plan that allows employees to pay for many out-of-pocket medical expenses using tax-free dollars. As the employer, you set the contribution limit, and allow your employees to fund their own accounts with pre-tax money. Employees can withdraw from these funds to pay for qualified health insurance premiums and out-of-pocket medical costs.

FSAs are meant to be used within a calendar year. At the end of the year, the employer may allow an additional month or two to use the funds, or enable a fixed amount to carry over into the next year.

The types of FSA programs Benefit Providers can set up for your employees include: Healthcare FSA, Limited FSA, Dependent Care FSA, Adoption Assistance Account. Other pre-tax plans include: Commuter Transit/Parking Plans, Education Reimbursement Accounts, Premium-Only Accounts, and Simple Cafeteria Plans.

Employer Benefits:

• Minimal employer expense
• Pre-tax dollars enables an approximate 10% savings for both employers and employees
• Employers avoid payroll tax payments on amounts employees contribute to their FSA
• Variety of FSA types available

HSA: Health Savings Account

A Health Savings Account (HSA) offers the ability to set aside pre-tax money to pay for qualified medical expenses including deductibles, co-pays, coinsurance and other out-of-pocket expenses in order to reduce healthcare costs (not to exceed IRS maximums). It can also help with high-deductible health insurance plans to cover out-of-pocket costs. Unspent money rolls over at year’s end.

Employers, employees and others can contribute to the HSA, but to be eligible, the employee must be covered under a HAS-qualified High-Deductible Health Plan (HDHP).

Employer Benefits:

• Pre-tax contributions reduce payroll costs
• Employer can contribute
• Funds are available immediately after contribution
• Funds can be used to pay for COBRA benefits during unemployment

Related: What is Self Funding?

QSE HRA: Qualified Small Employer Health Reimbursement Arrangement

The Qualified Small Employer Health Reimbursement Arrangement (QSE HRA) can beef up your benefits package by helping employees pay for medical coverage with tax-free funds for qualified healthcare expenses including insurance premiums, co-pays, deductibles, vision and dental care, etc. This account is funded by the employer only, with set benefit limits.

Employees can secure their own medical insurance, whether inside or outside of the marketplace, enabling them to find the coverage that best suits their personal needs.

Employer Benefits:

• Contributions are 100% tax deductible as a business expense
• Available to employers with fewer than 50 full-time employees
• Controlled funding limits
• No prefunding required
• Plans can include employees only or family coverage

Benefit Providers Can Create the Right Self-Funded Health Care Plans for Your Business

Explore the range of self-funded health care plans and benefits that Benefit Providers/ECCA Payroll Services can offer. As a full-service benefits provider, we offer plan selection, plan administration, accounting, legal and administrative services. Contact us at 703-370-2226 or info@benefitproviders.com.

As a result of the coronavirus pandemic, many and local and state governments discouraged people from leaving their homes for nonessential reasons. In addition, people were afraid to visit their doctors for fear of contracting COVID-19 while at the medical practice. This resulted in an upsurge in telemedicine—physician care via the telephone or Internet.

The Commonwealth of Virginia’s Department of Medical Assistance Services issued a memo on March 19, 2020 outlining its flexibilities in light of the public health emergency that included expanded telehealth coverage and the waiver of certain program requirements such as specified service authorizations and prescription drug limitations.

In its definition, “’Telehealth services’ means the use of telecommunications and information technology to provide access to health assessments, diagnosis, intervention, consultation, supervision, and information across distance for both medical and behavioral health services. Telehealth services includes the use of such technologies as interactive and secure medical tablets, remote patient monitoring, and store-and-forward technologies. When delivering services via telehealth, providers are required to adhere to the same standards of clinical practice and record keeping that apply to other covered services.”

Although telemedicine, or telehealth, has been in existence for some time, it has never been more important or more utilized than now. Due to increased demand, healthcare coverage and health care programs are expanding to include telemedicine.