America's Benefit Specialist August-September 2022

UNIQUE BENEFIT ACCOUNTS

planning, retreats, professional development and more. Employers set the parameters of what expenses are considered eligible for the employees as well as the budget provid ed and the cadence of funds. Not only could a lifestyle spending account increase reten tion, but employees who use the account will have resources to support financial and physical wellness. COMMUTER ACCOUNTS AND HRAs Lifestyle spending accounts aren’t the only unique accounts an employer can add. Com muter accounts and Healthcare Reimburse ment Arrangements can also provide added value to new and potential employees. If a percentage of the workforce regularly uses mass transit to commute for work, commuter accounts can be a great option to add to benefit account offerings. Employees can use the account to set aside pre-tax

5. individual-coverage HRA 6. excepted-benefit HRA As businesses confront the ongoing challenges of workforce retention and strive to build a brand that attracts top talent, business owners are finding creative ways to “level up” their benefits packages. Adding and upgrading benefit accounts can be a strategic way to deliver value and savings to your clients. 1. www.metlife.com/employee-benefit-trends/ ebts2020-holistic-well-being-drives-work force-success/ Phil Mason is executive vice president, chief operating officer and director of healthcare services—institutional banking at UMB Bank. Brian Hutchin is executive vice president and director of national sales and strategy at UMB Bank.

dollars to help pay for commuting costs and reduce taxable income. Additionally, em ployees can receive cash reimbursement for parking plans, vanpool, transit passes and ridesharing charges through eligible service providers—with at least six passenger spots. HRAs are employer-contributed funds that reimburse employees for medical expenses tied to their group health plan or to help them purchase their own insurance. The six different IRS-approved plan types for HRAs are: 1. HRA integrated with a group health plan 2. limited-purpose HRA (dental, vision and preventive care expenses only) 3. retirement HRA 4. qualified small-employer HRA (de signed for businesses with fewer than 50 full-time employees)

SUCCESSFUL RENEWALS

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for the Million Dollar Round Table. He is the youngest GCG advisor ever elected to the Executive Board of the Chicago Chapter of the National Association of Insurance and Financial Advisors. He a B.A. in philosophy from Northeastern Illinois University. Marcus is also the founder and president of Array Education Inc., an organization com mitted to the prevention of teenage substance abuse and addiction through a wide variety of programs that help young people make responsible, informed decisions about drugs and alcohol. Marcus lives in Deerfield, Illinois with his wife and three daughters.

period, employees can only make changes if they experience a qualifying event. The key to a successful open enrollment meeting is communication. This is where a broker can really shine. Create a variety of enrollment kits that employers can easily provide to each employee, including sum maries of benefits and coverage, all employee costs, any necessary paperwork and the required annual disclosure notices. These meetings are a great time to deliver other important company messages as well. In the end, a good broker, and the re search he or she provides, will have a huge payoff. After all, health insurance plans are

typically the second largest expense outside of employee payroll, so start early and be thorough.

Marcus Newman, RHU, CBC, is vice president, employee benefits at GCG Financial, an Alera Group Company. Since joining GCG in 1997, Marcus has focused on serving small

businesses. He is responsible for more than 200 privately held businesses, medical practices and physicians. Marcus is an annual qualifier

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