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Wednesday, February 29, 2012

Trading Pay For Benefits

Workers Would Trade Pay for BenefitsAn increasing number of U.S. workers are willing to trade some of their pay for more generous retirement and healthcare benefits, according to a survey by Towers Watson.

Fifty-five percent of respondents are willing to pay more from each paycheck to ensure a guaranteed retirement. That compares with 46% two years ago. Fifty-percent of respondents would trade a portion of their pay to have healthcare benefits if they retire before they are eligible for Medicare, versus 40% in 2009.

“Since the economic crisis, employees have been paying much closer attention to their retirement readiness and many are willing to look at new ways to balance their mix of pay and benefits,” said Kevin Wagner, a senior retirement consultant at Towers.

Retirement security has become especially important to older employees who may be facing declines in their retirement accounts and their home values. But, the growing interest in retirement security is not limited to older workers. In fact, some of the most dramatic changes in attitudes have been among younger employees and those with a defined benefit plan. Seventy percent of defined-benefit plan participants who are younger than 40 are willing to pay for a guaranteed retirement benefit compared to 66% in 2011 and 39% in 2009.

Forty-four percent of workers are worried about reductions to their retirement benefits over the next two years. Younger defined benefit plan participants are particularly concerned (63%).

Employees are even more concerned about healthcare costs. Seventy-three percent are concerned about higher out-of-pocket health costs and co-pays over the next two years, compared to 67% in 2007.

The rise in healthcare costs is the most important reason employees are concerned about retirement security, cited by 64% of respondents. Fifty-six percent cited concerns over Social Security or Medicare benefits and higher prices for necessities.

Older employees, women, lower-paid workers, and those with health issues are most willing to relinquish control over their retirement investments in exchange for more long-term stability in their retirement benefits.

For more information, visit http://www.towerswatson.com/newsletters/insider/6411.

Saturday, February 25, 2012

Key Features of the Law; Affordable Health Care Act

The health care law offers clear choices for consumers and provides new ways to hold insurance companies accountable. The most important parts of the law are broken into groups below. We’ll highlight new features of the law here as they roll out between now and 2014.

Rights and Protections
If you have insurance, these consumer protections can help you get the most out of your plan.

Insurance Choices
If you need insurance coverage or have been rejected due to a health condition or disability, you may be eligible for coverage through one of these programs.

Insurance Costs
How does your health insurance policy affect your wallet? Find out how the law helps you get the most value for your premium dollar.

65 or Older
The health care law strengthens Medicare and provides access to preventive services and prescription drug discounts for seniors.

Employers
Tax credits and new programs are available to small businesses to help make care more affordable for employers, employees, and early retirees.



If you need help dealing with your insurance, finding insurance, or getting answers to questions about how the health care system works, visit the Get Help Using Insurance section. Use our interactive FAQ tool at answers.healthcare.gov to find answers to your questions about health care and insurance.

Good News for Employess_Payroll Tax Holiday Extended

On February 17, 2012, Congress passed the Middle Class Tax Relief and Job Creation Act of 2012 (H.R. 3630). President Obama signed the bill February 22, 2012.

In addition to a number of other provisions, H.R. 3630 extended the payroll tax reduction which had previously been scheduled to expire at the end of February. Under the new law, for all of 2012, employees will pay the Old-Age, Survivors, and Disability Insurance (OASDI) portion of the payroll tax at a 4.2% rate (compared with 6.2%), on the first $110,100 in wages. Similarly, self-employed individuals will pay OASDI at a rate of 10.4% (rather than 12.4%) on the first $110,100 in self-employment income. The 2.0% reduction in OASDI does not apply to employers; an employer’s share of OASDI remains at 6.2%

The Medicare Hospital Insurance (HI) tax remains at 1.45% each for employers and employees, and at 2.90% for self-employed individuals, on all wages and earnings.

Wednesday, February 22, 2012

Target Date Funds Inspire Confidence

WORKPLACE RETIREMENT PLANS

Employees who participate in workplace retirement plans and use target-date funds are more confident about reaching their retirement goals and managing their portfolios, according to a study by ING. “Like many of the latest 401(k) features, target date funds …make saving for retirement easier and more automatic for the average plan investor. These funds are being designed into the newest breed of guaranteed income solutions,” said Rick Mason, president of Corporate Markets, ING U.S. Retirement.

Target date funds offer automatic asset allocation, over time, through a single age- and risk-appropriate investment. This simplified approach to investing is becoming increasingly popular among employers and employees. Target date assets have grown from $15 billion in 2002 to $363 billion in 2011, According to Morningstar and Financial Research Corporation.

Workplace investors have a strong preference for funds that are managed by multiple investment managers and provide a guaranteed income stream at retirement. Ninety-three percent of those who use target date funds say they would want a target date fund with stronger protection against market losses in the years leading up to and including retirement. Additionally, 80% prefer less market risk at that stage of the investment cycle.

“These findings suggest that diversified, age-adjusted target date funds may work better than traditional offerings in bridging the gap between investor knowledge and long-term retirement objectives,” said Paul Zemsky, Chief Investment Officer of Multi-Asset Strategies for ING Investment Management.

Other key findings of the study include the following:

• 88% of target date investors want a target date fund that offers guaranteed income at retirement.

• 61% of target date investors prefer multi-manager strategies and 14% prefer a single-manager.
To view a report, visit the ING Retirement Research Institute.

AMS Benefit Consultants has avocated these plans and all of our plans include them. Our expierence has been that employees contribute more to plans which they have confidence in performance with lower risk.

More Businesses Will Qualify for the Healthcare Tax Credit


President Obama is expanding the Small Business Healthcare Tax Credit tax credit so that more businesses can qualify. The Fiscal Year 2013 budget proposal increases the maximum size of eligible companies from 25 employees to 50; proposes more generous phase-out provisions; and simplifies the credit, making it easier to claim. The White House says that the proposed changes would benefit about half a million employers who provide healthcare to 4 million workers in 2012 alone. Over the next decade, this proposal would provide an additional $14 billion in tax credits to small employers across the country. For more information, visit www.healthcare.gov.

Friday, February 17, 2012

Manta confirms AMS philosophy on client services with thier tip of the day?

Respond Promptly to Requests for Information

When customers request information about your company via email, a website form, over the phone or through some other means, they expect a quick response. When a company fails to respond--due to poor organization, incorrect contacts or a busy schedule--customers are left feeling abandoned and likely won't do business with you now or in the future.

Thursday, February 02, 2012

Learn More about HSA plans from AMS


HSA FAQ
What is a Health Savings Account (“HSA”)?
A Health Savings Account is a special type of savings account like an Individual Retirement Account (IRA) that offers a different way for consumers to pay for their health care. HSAs enable you to pay for current health expenses and/or save for future qualified medical and retiree health expenses on a tax-free basis.You must be covered by a High Deductible Health Plan (HDHP) to be able to take advantage of HSAs. An HDHP generally costs less than what traditional health care coverage costs, so the money that you save on insurance can therefore be put into the Health Savings Account.

You own and you control the money in your HSA. Decisions on how to spend the money are made by you without interference from a third party or a health insurer. You also decide what types of investments to make with the money in the account in order to make it grow.

What Is a “High Deductible Health Plan” (HDHP)?
You must be covered by an HDHP if you want to open an HSA. Sometimes referred to as a “catastrophic” health insurance plan, an HDHP is an inexpensive health insurance plan that generally doesn’t pay for the first several thousand dollars of health care expenses (i.e., your “deductible”) but will generally cover you after that. Of course, your HSA is available to help you pay for the expenses your plan does not cover.

For 2012, an HDHP must have a deductible no lower than $1,200 for individuals with self-only coverage or $2,400 for family coverage. In addition, the HDHP must limit your out-of-pocket expenses to no more than $6,050 (self) or $12,100 (family). HDHPs can have first dollar coverage (no deductible) for preventive care and higher out-of-pocket (copays & coinsurance) for services received outside the plan’s provider network.

for more information click here:

Why Use an Online Payroll Service?


Payroll. The Hollywood image of an unobtrusive character in the back room poring over figures may come to mind but that’s so last century. Today, businesses don’t have the luxury of dedicating large chunks of time and other resources to getting employees paid accurately and on time and to complying with the myriad regulations associated with payroll. Indeed, payroll, though an essential element in operating any business, must proceed transparently freeing owners, managers and other employees to get on with the business of business.

Below are some of the best reasons to consider using an online payroll service:

Save Time and Money - In business, time is money and running payroll can’t be a full time job. It’s an overhead expense that doesn’t directly add to the business’ bottom line and it is one of the most commonly outsourced functions. While employing an accounting firm or more traditional payroll outsourcer may be beyond the reach of many small businesses, online payroll services provide a critical array of services at rather nominal prices.

Ease of Use - Processing payroll is regarded as a rather arduous task by most business operators but inputting data into an online payroll service is intuitive, quick and easy. The initial setup is critical because future calculations are based on it, but online payroll service providers have made the process about as simple as one could imagine. What’s more, they generally provide support to assist in getting things set up right initially as well as resolving any problems that may arise.

Avoid Costly Errors - Getting it right the first time is a major advantage that online payroll services provide. In addition to making data entry simple, they generally present a completed payroll for review before live submission. The services also use their expertise and systemization to make certain that all payroll tax reporting and payments are made accurately and on time thus avoiding costly penalties.

Stay Current - A major complaint of business operators is always that there’s too much government regulation and that they are often not aware of changes as they occur. Keeping up to date on applicable regulations from the multiple levels of taxing authorities is at the heart of an online payroll services business so that their clients are liberated from the need to be payroll experts and can concentrate on running their businesses.

Online Payroll Services: What to Look For

Pricing
We don’t want to place any more emphasis on the price of an online payroll service than is absolutely necessary, but the reality is that the cost of the service is one of the most significant distinguishing factors. The reporting and deposit requirements that an online payroll service must meet are, for the most part, statutory in nature and the features that are offered from one service to the next don’t vary greatly. These facts result in price being an important factor in choosing a provider. When comparing prices of the various providers, don’t forget to consider those features that some companies include in their overall service while others impose additional fees.

Ease of Use
Of course you should consider ease of use. But online software and services are now almost universally conforming to best practices when it comes to user interfaces. So unless you encounter a design that happens to annoy you, ease of use is not the most important feature to examine.

Features
If you have less than 150 employees, you might prefer the ability to print checks locally. Some online payroll services let you print checks and paystubs locally, but some offer centrally printed checks only. Direct deposit is a standard feature, but some vendors include it in the monthly fee and others charge more for the feature.

Pay Options
These days, most employees receive their pay via direct deposit to a bank account but some still find the option of getting a paper check preferable. Payroll cards are becoming more popular, particularly for employees who don’t have a bank account. These are essentially debit cards that can be used to make purchases as well as to make cash withdrawals.

Tax Compliance Features
When thinking of payroll processing, the first thing that comes to mind is likely to be getting employees paid. But for employers, the biggest problems associated with payroll involve compliance with a multitude of tax regulations. An online payroll service can file the quarterly and annual returns that are required by the various levels of taxing authorities and make the mandatory periodic deposits. Most offer the option of doing the filings on behalf of the client or of providing ready for signature documents that the customer then files.

Help & Support
In a competitive industry in which everybody provides services that strongly resemble one another, customer service is deciding factor. Payroll issues are usually time sensitive and missed deadlines are costly. While many online payroll service providers guarantee timeliness and accuracy, the business operator always deserves and should insist upon superb customer support.

Software Integration
The data entered into an online payroll service can generally be exported to other accounting software. Some services allow for integration with multiple software packages, while others only support the use of one or two. The important point is that the data should be compatible with the accounting software used by your business. An online payroll service should make running a business easier and more productive rather than requiring duplicate data entry or a complete changeover of accounting software.

We’ve taken care to evaluate online payroll services with the needs of small businesses in mind. As you compare services on our side-by-side matrix, take note of those characteristics that are best for a small business.

Our affiliate offers substantial discounts to our clients.

info@amsinsure.com

2013 Reporting W-2 employee benefits.

For employers that issue less than 250 w-2's not employees a year there is currently no requirement to report under this part of Health Care Reform. For employers that issue more than 250 w-2's a year they will have to report the value of health care benefits.

AMS is avialable to discuss the importance of this issue and also clinets or prospects should be discussing with there CPA, Payroll Vendor, or others who would provide services for internal payroll departments.

Wednesday, February 01, 2012

Employee Morale Shapes Business Success

The start of a new year represents an excellent time to contemplate employee morale within the organization. One success formula for an employer is to place and retain the right employees in the right jobs. Although monetary incentives are one way to help employees cope with economic downturns and challenges, the quality of work/life issues is a vital element that impacts the morale and the successful contributions of your employees.
The first step is to take time to assess how employees feel about their current roles and what the company can do to ensure they are positioning themselves as an attractive employer. Remember to recognize exceptional workers within the organization. Having employees who are valued, recognized and appreciated for their efforts will generally boost the overall morale of the organization. Such employees may also provide critical business and employee referrals to further contribute to the company’s success.
Management immediately can do a great deal to help increase employee morale. Consider the following three tips:
• Analyze the Business Situation. Question where improvements need to be made or enhancements should take place for employees to effectively and efficiently carry out their work duties.
• Communicate with Your Employees. Inform employees about changes within staff, budgeting, etc. and take feedback into consideration.
• Increase Workplace Incentives. Provide an environment with growth opportunities, monetary and non-monetary rewards, and a positive business culture. One simple example that can be easily overlooked is to thank your employees periodically for their efforts in email communications or staff meetings.
In this new year, resolve to make employee morale a priority. A business can prosper with the right mind-set, tools, and the greatest asset – its employees. When employees feel respected, appreciated, and recognized, the increased success of a business will generally follow.



Tool of the Month:
Essential Job Functions Worksheet
Essential job functions are the fundamental duties of a job position – the duties an employee with that job absolutely must be able to perform. In the event a charge is filed (e.g. under the Americans with Disabilities Act), a crucial and basic component of the charge will be the employer’s definition of and justification for the essential functions of the employee’s job in question. Therefore, carefully assess and document the essential functions for each job in your company.
The Essentials Job Functions Worksheet will help you with the following:
• Identify key characteristics of an essential function,
• Determine which functions are essential or non-essential to a specific job,
• Develop documentation of employer good faiths efforts to establish essential job functions.

Request more information:

HR TIPS

Clearing the Smoke on Smoking in the Workplace
Is it a smart move for an employer to discriminate against an individual who uses tobacco? This month’s HRCast will explore the benefits and the pitfalls surrounding this question.
On February 15th, be sure to visit the HR Support Center and listen to this month’s HRCast to learn more about this topic.


Manage Workplace Stress
Workplace stress results from multiple internal and external factors. Internal factors can be attributed to budgets, employee performance issues, sales and profit outlooks, and overall employee relationships within the business. External factors can result from economic uncertainty, competitors, and market value prices. To help reduce and control workplace stress for your employees, consider applying certain coping mechanisms. One stress-reducing technique is to provide workers with opportunities to participate in decisions that affect their jobs (e.g. work scheduling and advancement opportunities).


34%
According to a December 2011 survey, more than one-third (34%) of employers have terminated an employee for being late to work. (Source: Harris Interactive)


"Unless commitment is made, there are only promises and hopes…but no plans."
- Peter Drucker