What must the employer do after the plan administrator has completed the enrollment process for the child(ren)?
Upon notification of the enrollment from the plan administrator, the employer must determine if the necessary employee contributions may be withheld from the employee’s wages without violating any applicable withholding limits. Part A of the NMSN contains information for the employer regarding Federal and State limitations on withholdings, any applicable withholding prioritization laws, and the duration of the withholding obligation. If withholding limits prevent the employer from withholding the employee contributions necessary for coverage, the employer must use the Employer Response on Part A to notify the Issuing Agency of its inability to withhold the necessary amounts. If the amounts necessary for coverage may be withheld, the employer must initiate such withholding and transmit the withheld amounts to the group health plan to pay for the child’s coverage.
Related Questions
- The plan administrator has enrolled the child(ren), and the employer is withholding premiums. What does the employer do if the employee quits or is laid off for a long term?
- At the end of the year when does the Plan Administrator need to enter Profit Sharing and Employer Matching and how is that process done?
- What must the employer do after the plan administrator has completed the enrollment process for the child(ren)?