December 2018 Newsletter



Com­pli­ance Update

2019 Impor­tant IRS & Oth­er Guidelines/Limits



Effec­tive in 2019, the per­cent­age paid for dis­abil­i­ty ben­e­fits and Paid Fam­i­ly Leave increas­es from 55% to 70% for those that earn less than one-third of the State’s
aver­age quar­ter­ly wage dur­ing the pri­or four quar­ters or 60% for those that earn a high­er amount. The law has a sun­set pro­vi­sion after 2021. The sev­en-day wait­ing peri­od for Paid Fam­i­ly Leave has been eliminated.


Flex­i­ble Spend­ing Account:


Max­i­mum Con­tri­bu­tion:                                                                              $ 2,700

[applies only to
employ­ee contributions]


employ­er con­tri­bu­tions, the max­i­mum (on top of any employ­ee con­tri­bu­tions), is the high­er of $500 or an amount equal to a dol­lar for dol­lar match of the employ­ee contribution.


Depen­dent Care Assis­tance Program:


Flex Plan:

           Max­i­mum Con­tri­bu­tion:                                                                   $ 5,000

[for any num­ber of dependents]


Fed­er­al Tax Credit:

           Cred­it Based on Eli­gi­ble Expens­es for One Depen­dent:             $ 3,000

           Cred­it Based on Eli­gi­ble Expens­es for 2+ Depen­dents:              $ 6,000


Qual­i­fied Trans­porta­tion Fringe Ben­e­fit per Month


Qual­i­fied Park­ing                                                                                                 $265

Tran­sit Pass­es                                                                                                       $265


Qual­i­fied Adoption


Employ­er Pro­vid­ed                                                                                        $14,080

(Phase out starts at MAGI $211,160, goes to zero at $251,160.)