We think you have liked this presentation. If you wish to download it, please recommend it to your friends in any social system. Share buttons are a little bit lower. Thank you!
Presentation is loading. Please wait.
Published byTodd Mills
Modified about 1 year ago
Prentice Hall, Inc. © A Human Resource Management Approach STRATEGIC COMPENSATION Prepared by David Oakes Chapter 11 Discretionary Benefits
Prentice Hall, Inc. © Discretionary Costs In 2004 $11,107 per employee 40% of total payroll costs $15,000 total with legally-required benefits
Prentice Hall, Inc. © Benefit Types Protection programs Pay for time-not-worked Services
Prentice Hall, Inc. © Income Protection Disability insurance Life insurance Pension programs
Prentice Hall, Inc. © Health Protection Self - funded plans Health maintenance organizations (HMOs) Preferred provider organizations (PPOs) Dental insurance Vision insurance Prescription drug plan
Prentice Hall, Inc. © Short-Term Disability Less than 6 months duration Unable to perform job Benefit: 50% - 100% of pre-tax income
Prentice Hall, Inc. © Long-Term Disability 6 months to life Unable to perform any job qualified for Benefit 50% - 70% of pre-tax pay month waiting period Other benefits used first
Prentice Hall, Inc. © Pension Plan Financing Options Noncontributory Contributory Employee-financed programs A combination of the three
Prentice Hall, Inc. © Pension Plan Tax Treatment Options Qualified Employers get tax deductions for contributions Employees taxed less at retirement Nonqualified Employers & employees receive few tax break
Prentice Hall, Inc. © Qualified Plans Eligibility Minimum age 21, & 1 year of service Nondiscrimination Limited preferential treatment Vesting Usually years Payout restrictions Tax penalty if taken before age 59.5
Prentice Hall, Inc. © Defined Contribution Plans Profit sharing plans Employee stock ownership (ESOPs) 401(k)s Savings & thrift plans
Prentice Hall, Inc. © (k)s Named after IRS code section Employees invest pre-tax income Plan limits $15,000 $15,500 $16,000 $500 yearly increases
Prentice Hall, Inc. © ESOPs The basis for 401 (k) plans Contributions invested in company securities Distributions made in company stock Like stock bonus plans, except stock is purchased with borrowed funds
Prentice Hall, Inc. © Saving & Thrift Plans Employers match employees’ contributions Usually up to 50% of employees’ Tax penalties for early withdrawals Employees can select investment vehicle Stocks Bonds Money market funds
Prentice Hall, Inc. © Defined Benefit Plans Guarantees benefits amount Amount expressed as a monthly sum % of pre-retirement pay X years of service Employers’ contributions can vary, but benefit at retirement cannot Not widely used
Prentice Hall, Inc. © Health Care Programs Fee-for-service Managed care Point of service Consumer-driven health care
Prentice Hall, Inc. © Fee-For-Service Plans Indemnity plans Cover usual, customary, reasonable charges Hospital expenses Surgical expenses Physicians’ fees Deductibles & coinsurance Out-of-pocket maximums Individual or group coverage
Prentice Hall, Inc. © HMOs Organize, deliver, & finance care Provides prepaid medical services May include co-payments Regulated by Health Maintenance Organization Act of 1973 Prepaid group practices Individual practice associations
Prentice Hall, Inc. © PPOs Select group of health care providers Employees choose from a list Financial incentives to use list Physicians must Meet quality standards Abides by PPO cost-containment Accepts PPO fee structure Does not provide prepaid benefits
Prentice Hall, Inc. © Consumer-Driven Care Flexible-spending accounts Health reimbursement arrangements Health savings accounts
Prentice Hall, Inc. © Flexible-Spending Accounts Supplemental health coverage Employee funds account with pre-tax income Pays for qualified expenses Unused funds forfeited
Prentice Hall, Inc. © Health Reimbursement Arrangements Supplemental health coverage Employees funded Unused funds carried over
Prentice Hall, Inc. © Prescription Drug Plans Medical reimbursement plans Prescription card programs Mail order prescription drug program
Prentice Hall, Inc. © RELEVANT LEGISLATION ERISA COBRA FLSA HIPPA
Prentice Hall, Inc. © ERISA Regulates fringe compensation Medical Disability Life insurance Pension Monitors Reporting Disclosure Funding Fiduciary & vesting responsibilities
Prentice Hall, Inc. © COBRA Continues health care coverage to 36 months Can cost up to 102% of premium Employers penalized for noncompliance Exempt employers Those with less than 20 employees Churches Federal government
Prentice Hall, Inc. © HIPPA Guarantees health coverage Addresses preexisting conditions Concerns access to health information Transfer Disclosure Use
9-1. McGraw-Hill/Irwin Copyright © 2006 The McGraw-Hill Companies, Inc. All rights reserved. 9 Health and Disability Income Insurance.
Fundamentals of Human Resource Management 8e, DeCenzo and Robbins Chapter 12 Employee Benefits Fundamentals of Human Resource Management Eighth Edition.
Health Insurance Plans Unit 2.4 Dr. Hale Medical Technologies Jr. Program.
HEALTH AND DISABILITY INCOME INSURANCE CHAPTER 11 Personal Finance FIN 235.
Presented by Strategic Business Services Source: US Department of The Treasury All About HSAs.
EMPLOYMENT BENEFITS. Employee Benefit Programs Part of Total Compensation Some Government Mandated Some Incentive Related Part of Cost of Doing Business.
Copyright © 2008, 2005, by Saunders, an imprint of Elsevier Inc. All rights reserved. Basics of Health Insurance Chapter 19.
NAHU Health Insurance 101 The Basics About How Health Insurance Markets Work and What You Need to Know To Get Started in the Group Insurance Sales Business.
Thank You For Your Participation This Employer Webinar Series program is presented by Spencer Fane Britt & Browne.
B UDGETING FOR C OLLEGE : E MPLOYEE C OMPENSATION AND B ENEFITS Andrea Morgan, Gary Moore, and Melissa Greenslade Program Coordinators Office of Financial.
HEALTH CARE SYSTEMS. Different Health Care Systems – Private health care facilities – Government agencies – Voluntary or nonprofit agencies HEALTH CARE.
Presented by Jaeger & Flynn Assoc., Inc. Presented by Jaeger & Flynn Assoc., Inc. All About HRAs.
The Costs of Employee Benefits Joseph J. Martocchio.
1.03 Healthcare Finances Understand healthcare agencies, finances, and trends Healthcare Finances Government Finances Private Finances 2.
Issues for Employers. How the law affects employers and health plans Grandfathered plans Small business tax credit Early Retiree Reinsurance.
Choose a Healthcare Plan Taylor Bohl, Mia Feldmann, Jaclyn Saltzman, Cara Venegoni.
Trieschmann, Hoyt & Sommer Employee Benefits: Life and Health Benefits Chapter 19 ©2005, Thomson/South-Western.
Health Reimbursement Arrangements (HRAs) Presented by: Cafro Agency, LLC David L. Cafro, CIC (860) 779-DAVE.
1 Medical Assisting Chapter 15 PowerPoint ® to accompany Second Edition Ramutkowski Booth Pugh Thompson Whicker Copyright © The McGraw-Hill Companies,
Protects the standard of living of the survivors Policyholder dies = ins. co. pays survivors Proceeds: the money paid to survivors Beneficiary: each person.
Santa Rosa County School Board Employee Benefits 2013 Benefit Plan Year.
Welcome to the State of Kansas Group Health Insurance Basics Presentation Human Resource Services Spring 2009.
Santa Rosa County School Board Employee Benefits 2012 Benefit Plan Year.
Insurance. Chapter 14 – Insurance Basics Risk management – limiting possible financial losses to amounts you can handle Risk management – limiting possible.
Getting The Most From Your HSA For the employees of: Butler University.
Association Insurance Cooperative PPACA 2013 – 2014 June 5, 2013 Webinar Handouts: Click HereClick Here.
,. What is an Insurance Policy? A contract with an insurance company that spells out what losses are covered, what the policy costs, and who receives.
2008 BENEFITS OVERVIEW Employee Presentation. AETNA Benefits Offering Overview Multiple Medical Plans: HSA, HRA, HMO, PPO Multiple Medical Plans: HSA,
Facilitator: John Mueller, Executive Director of Human Resources Presenters: Tina Petrie, Director of Salary Administration and Benefits Kathy Eghoian,
Disclaimer Each individual’s needs for health care vary and decisions should be made based on specific knowledge of your own needs. Cost information.
© 2016 SlidePlayer.com Inc. All rights reserved.