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November is Long Term Care Awareness Month
2012 Retirement Plan Maximum Contributions Announced
COBRA Subsidy Ending on August 31, 2011
Important Update for Current Individual Anthem Clients
Do you have Employer-Owned Life Insurance issued before August 17, 2006?
Should I Grandfather My Health Plan?
Anthem's Health Care Reform Website
The Simplest Way to Keep Your Key Employees
November is Long Term Care Awareness Month
posted on November 10, 2011
November is Long Term Care Awareness Month and a great time to ask-
What is my written plan for long term care?
Here are some options which allow you to decide the best fit for your situation.
Long Term Care Insurance: Long term care insurance is designed to help reimburse the cost of skilled or custodial long term care whether that be in a facility or your home. It gives you independence and the power to dictate your care.
Linked Benefits: A linked benefit policy provides a pool of money for long term care expenses (long term care insurance) and allows you to leave a death benefit to help protect beneficiaries (life insurance).
Self-Funding: Another idea is for you to self-fund your long-term care with your own income. In considering self-funding, be sure to set aside enough savings by reviewing the cost of care in your area.
Family Support: Some may look to family members to provide care. When making this decision there are some important considerations such as where will you live, to whether your family will have the time and ability to provide care.
Public Programs: It is a common misconception that the government will pay for long term care expenses. However, Medicare generally covers skilled nursing home care after a hospital stay of at least three days and its coverage for other long term care services is very limited. Medicaid does contribute towards long term care but requires recipients to use their income to pay for care and most of their assets to qualify.
Combine Self-Funding with Long Term Care Insurance or Linked Benefits: Some may decide that a combination of funding sources best suits their needs.
2012 Retirement Plan Maximum Contributions Announced
posted on November 3, 2011
The IRS recently announced the following retirement plan limits for 2012:
| Retirement Plan Limits | 2012 | 2011 |
| 401(k), 403(b), 457(b) employee contributions | $17,000 | $16,500 |
| Catch-up Contributions (Age 50 or older) | $5,500 | $5,500 |
| Defined Contribution Plan Annual Contribution Limit | $50,000 | $49,000 |
| Defined Benefit Plan Annual Benefit Limit | $200,000 | $195,000 |
| Annual Compensation Limit | $250,000 | $245,000 |
| Highly Compensated Employee | $115,000 | $110,000 |
| Key Employee Officer Compensation Threshold | $165,000 | $160,000 |
| IRAs for people age 49 and younger | $5,000 | $5,000 |
| IRAs for people age 50 and older | $6,000 | $6,000 |
| SIMPLE Retirement Accounts | $11,500 | $11,500 |
COBRA Subsidy Ending August 31, 2011
posted on August 28, 2011
The March 2009 Federal COBRA subsidy that mandated employers cover 65% of COBRA premiums for employees who were involuntarily terminated between September 2008 and May 2010 for a period of up to 15 months is ending August 31, 2011. This means that anyone receiving assistance through the subsidy will now be responsible for 100% of the COBRA premiums should they choose to continue coverage.
Some individuals may not be aware they’ll no longer be getting a subsidy. Employers are encouraged to send a notice to subsidy beneficiaries that their eligibility is coming to an end; however, there are no requirements of such notice in place. There is currently no pending action from Congress that would extend the subsidy any further.