{"id":3116,"date":"2021-03-12T22:18:01","date_gmt":"2021-03-12T22:18:01","guid":{"rendered":"http:\/\/www.joneslemongraham.com\/blog\/?p=3116"},"modified":"2021-12-21T20:02:18","modified_gmt":"2021-12-21T20:02:18","slug":"american-rescue-plan-act-cobra-subsidy","status":"publish","type":"post","link":"https:\/\/www.joneslemongraham.com\/blog\/american-rescue-plan-act-cobra-subsidy\/","title":{"rendered":"American Rescue Plan Act &#8211; COBRA subsidy"},"content":{"rendered":"<p>by <a href=\"http:\/\/www.joneslemongraham.com\/attorneys.html?Attorney=Kelly\">Joseph P. Kelly<\/a><\/p>\n<p><a href=\"http:\/\/www.joneslemongraham.com\/blog\/wp-content\/uploads\/2020\/03\/Capitol.jpg\"><img loading=\"lazy\" src=\"http:\/\/www.joneslemongraham.com\/blog\/wp-content\/uploads\/2020\/03\/Capitol-300x200.jpg\" alt=\"\" width=\"300\" height=\"200\" class=\"alignnone size-medium wp-image-2988\" srcset=\"http:\/\/www.joneslemongraham.com\/blog\/wp-content\/uploads\/2020\/03\/Capitol-300x200.jpg 300w, http:\/\/www.joneslemongraham.com\/blog\/wp-content\/uploads\/2020\/03\/Capitol.jpg 768w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>Yesterday, Joe Biden signed the American Rescue Plan Act of 2021 which includes a 100% COBRA premium subsidy that will require immediate employer action.<\/p>\n<p>The COBRA subsidy&#8211;which applies to all group health plans, except for flexible spending account coverage&#8211;will be available to all individuals enrolled or that will enroll in COBRA on or after April 1, 2021 and until September 30, 2021 when the subsidy ends.<\/p>\n<p><strong>What employers need to know:<\/strong><\/p>\n<p>Eligible individuals will receive the subsidy directly from the employer; the employer will be required pay the COBRA premiums and then will receive a payroll tax credit to recoup the subsidy cost.<\/p>\n<p>Employers are required to either update their current COBRA notices or provide a separate notice describing the premium subsidy. The Department of Labor is required under the new law to provide model notices within 30 days. But affected employers shouldn&#8217;t wait for the model notices; instead they should work with their COBRA administrators to see if there are any individuals eligible for the subsidy&#8211;including former employees that may or may not have elected COBRA coverage. Failure to provide the required notice may result in a tax penalty.<\/p>\n<!-- AddThis Advanced Settings generic via filter on the_content --><!-- AddThis Share Buttons generic via filter on the_content -->","protected":false},"excerpt":{"rendered":"<p>by Joseph P. Kelly Yesterday, Joe Biden signed the American Rescue Plan Act of 2021 which includes a 100% COBRA premium subsidy that will require immediate employer action. The COBRA subsidy&#8211;which applies to all group health plans, except for flexible spending account coverage&#8211;will be available to all individuals enrolled or that will enroll in COBRA [&hellip;]<!-- AddThis Advanced Settings generic via filter on get_the_excerpt --><!-- AddThis Share Buttons generic via filter on get_the_excerpt --><\/p>\n","protected":false},"author":6,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[9,6],"tags":[],"_links":{"self":[{"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/posts\/3116"}],"collection":[{"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/comments?post=3116"}],"version-history":[{"count":10,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/posts\/3116\/revisions"}],"predecessor-version":[{"id":3128,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/posts\/3116\/revisions\/3128"}],"wp:attachment":[{"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/media?parent=3116"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/categories?post=3116"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.joneslemongraham.com\/blog\/wp-json\/wp\/v2\/tags?post=3116"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}