Seyfarth Synopsis: The IRS recently published two notices which describe the tax treatment of amounts paid for condoms and expand the list of preventive care benefits permitted to be provided by a high deductible health plan (HDHP) without payment of a deductible.
Notice 2024-71 – This notice provides that amounts paid for condoms will be
Seyfarth Synopsis: Recently HHS issued a memorandum announcing the maximum annual limitation on cost sharing (a/k/a out-of-pocket maximum) for 2026 and the IRS issued Rev. Proc. 2024-40 announcing the cost-of-living adjustments to certain welfare and fringe benefit plan limits for 2025.
2026 Out-of-Pocket Maximum
On October 8, 2024, the Department of Health and Human Services
Seyfarth Synopsis: The federal district court for the Northern District of Texas has issued an order in the Ryan case staying the effective date on a nationwide basis the Federal Trade Commission (FTC) Rules banning noncompete agreements (the “Rule”), as well as enforcement of the Rule. However, legislatures and agencies at the federal and state
Seyfarth Synopsis: On September 9, 2024, the Departments of the Treasury, Labor, and Health and Human Services (the “Departments”) released highly anticipated Final Rules under the Mental Health Parity and Addiction Equity Act (MHPAEA). Instead of providing the guidance hoped for by stakeholders, the new rules may leave employers wondering if they should continue to
On Monday, September 9, 2024, the Departments of Health and Human Services, Labor and Treasury (the “Departments”) issued their final rule regarding the nonquantitative treatment limitation (NQTL) comparative analysis required under the Mental Health Parity and Addiction Equity Act (MHPAEA). (These acronyms roll right off the tongue, don’t they?) The Departments note that final rules
Seyfarth Synopsis: On August 19, 2024, the IRS issued Notice 2024-63 (the “Notice”) providing guidance for plan sponsors that wish to provide matching contributions based on eligible student loan repayments made by participants, rather than based only on elective deferrals, pursuant to the SECURE 2.0 Act of 2022. This post summarizes guidance under the Notice.
Section 110 of the SECURE 2.0 Act of 2022 codified rules that permitted plan sponsors to make a matching contribution to a 401(k), 403(b), SIMPLE or governmental 457(b) plan based on a participant’s “qualified student loan payment,” in addition to matching contributions on a participant’s elective deferral contribution to the plan. These rules already took effect this year, and the IRS has now issued welcome guidance on how this provision should be implemented.Continue Reading Major SECURE 2.0 Guidance Issued: Extra Credit for Repaying Qualified Student Loans
This post was originally published to Seyfarth’s Trading Secrets blog.
Once again surprising the country by acting ten days before her own self-appointed deadline, a federal judge in the United States District Court for the Northern District of Texas issued a ruling on August 20 in the Ryan v. FTC case setting aside the FTC Rule banning non-competes, and held (quoting Fifth Circuit precedent) that the ruling had “nationwide effect” that is “not party restricted” and “affects persons in all judicial districts equally.” This will undoubtedly elicit an immediate appeal from the FTC.
The Court’s reasoning is almost word-for-word identical to its Order staying the FTC Rule on July 3, 2024 (which we analyzed here). The Court once again limited its ruling to conclude that the FTC violated the APA because “[1] the FTC exceeded its statutory authority in implementing the Rule, and [2] the Rule is arbitrary and capricious.”Continue Reading Federal Texas Court Sets Aside with “Nationwide Effect” the FTC Rule Banning Non-Competes
Seyfarth Synopsis: Orders issued by the Eastern District of Texas on Thursday July 25 and the Northern District of Texas on Friday July 26 indefinitely delayed the September 23, 2024 effective date of the Department of Labor’s revised regulation defining when a party becomes an “investment advice” fiduciary (the “New Fiduciary Rule”) and amendments to seven related prohibited transaction exemptions (“PTEs”).
In Federation of Americans for Consumer Choice v. Department of Labor (the “FACC Case”), the plaintiffs, a trade group representing the insurance industry, whose mission is “to promote a level playing field for independent insurance professionals by advocating and influencing practices, regulations, and legislation that foster consumer choice” and certain insurance professionals who are members of FACC, challenged the New Fiduciary Rule and amendments to PTE 84-24 (“PTE 84-14 Amendments”) under the Administrative Procedures Act (the “APA”). The plaintiffs moved for a stay of the effective date of New Fiduciary Rule and the PTE 84-24 Amendments, or a preliminary injunction prohibiting enforcement of the New Fiduciary Rule and PTE 84-24 Amendments, while the FACC Case is pending.Continue Reading Two Texas District Courts Issue Orders Delaying the Effective Date of DOL Fiduciary Rule and Related Amendments to Seven Prohibited Transaction Exemptions
In this episode, Richard and Sarah are joined by Ian Morrison, a Partner in Seyfarth’s ERISA Litigation group to delve into a new line of cases alleging that forfeitures are plan assets, and must be used to benefit plan participants. The plaintiffs in these cases are claiming that using forfeitures to offset employer contributions
Seyfarth Synopsis: The IRS has announced increases to key limits for certain health and welfare benefit programs, including HSA contributions for 2025.
The IRS recently released 2025 cost-of-living adjustments applicable to dollar limitations for certain employer-sponsored health and welfare plans in Rev. Proc. 2024-25.
The changes in the 2025 cost-of-living adjustments for employer-sponsored health