Employment Benefits and Compensation Planning
The firm also practices in the area of employee benefits, which includes welfare benefits, pension benefits and ERISA.
The welfare benefit practice area covers the Affordable Care Act, HIPAA, cafeteria plans, medical expense reimbursement plans, flexible spending arrangements, health plans and COBRA.
There are two areas of pension benefits qualified plans and nonqualified plans. Qualified plans would include:
- money purchase pension plans
- 401(k) plans
- profit sharing plans
- employee stock ownership plans (ESOPs)
- cross-tested plans
- age-weighted plans
The firm also handles disputes with the IRS that involve qualified plans under the Employee Plans Compliance Resolution System (EPCRS) which involve self-correction (SCP), voluntary correction with IRS approval (VCP) and correction on audit (Audit CAP). Qualified plans must comply with ERISA.
Nonqualified plans are deferred compensation plans used by employers generally for their management or highly compensated employees. Nonqualified plans must comply with ERISA, but they also may have to comply with Sections 409A and 457 of the Internal Revenue Code. These plans sometimes are referred to as top-hat plans or secular trusts.
Another area of employee benefits in which the firm practices is stock option plans. These include incentive stock option plans, employee stock purchase plans and nonstatutory stock option plans.