Finances and Retirement
The current world health crisis has many people wondering about their day to day finances as well as their long-term goals such as retirement savings. Below are some articles you may find helpful during this time. We will continue to post important information as we receive it.
The United States Department of Labor has issued the following statement:
The Families First Coronavirus Response Act (FFCRA or Act) requires certain employers to provide their employees with paid sick leave and expanded family and medical leave for specified reasons related to COVID-19.
These provisions will apply from April 1, 2020 through December 31, 2020.
► PAID LEAVE ENTITLEMENTS
Generally, employers covered under the Act must provide employees:
Up to two weeks (80 hours, or a part-time employee’s two-week equivalent) of paid sick leave based on the higher of their regular rate of pay, or the applicable state or Federal minimum wage, paid at:
• 100% for qualifying reasons #1-3 below, up to $511 daily and $5,110 total;
• 2/3 for qualifying reasons #4 and 6 below, up to $200 daily and $2,000 total; and
• Up to 10 weeks more of paid sick leave and expanded family and medical leave paid at 2/3 for qualifying reason #5 below for up to $200 daily and $12,000 total.
A part-time employee is eligible for leave for the number of hours that the employee is normally scheduled to work
over that period.
► ELIGIBLE EMPLOYEES
In general, employees of private sector employers with fewer than 500 employees, and certain public sector employers, are eligible for up to two weeks of fully or partially paid sick leave for COVID-19 related reasons (see below). Employees who have been employed for at least 30 days prior to their leave request may be eligible for up to an additional 10 weeks of partially paid expanded family and medical leave for reason #5 below.
► QUALIFYING REASONS FOR LEAVE RELATED TO COVID-19
An employee is entitled to take leave related to COVID-19 if the employee is unable to work, including unable to telework, because the employee:
1. is subject to a Federal, State, or local quarantine or isolation order related to COVID-19;
2. has been advised by a health care provider to self-quarantine related to COVID-19;
3. is experiencing COVID-19 symptoms and is seeking a medical diagnosis;
4. is caring for an individual subject to an order described in (1) or self-quarantine as described in (2);
5. is caring for his or her child whose school or place of care is closed (or child care provider is unavailable) due to COVID-19 related reasons; or
6. is experiencing any other substantially-similar condition specified by the U.S. Department of Health and Human Services.
The U.S. Department of Labor’s Wage and Hour Division (WHD) has the authority to investigate and enforce compliance with the FFCRA. Employers may not discharge, discipline, or oth erwise discriminate against any employee who lawfully takes paid sick leave or expanded family and medical leave under the FFCRA, files a complaint, or institutes a proceeding under or related to this Act. Employers in violation of the provisions of the FFCRA will be subject to penalties and enforcement by WHD.
The Countdown to Retirement is On! Are you ready? Read the full article here to learn what you can be doing now to prepare for each milestone.
Read this article to find out about the earned income tax credit and if you qualify. This article was provided by the IRS.
Do you stress about your finances? You’re not alone.
In 2016, 52 percent of employees indicated they were stressed about their finances, and 45 percent said their stress had increased during the last 12 months. They also admitted financial worries had impacted their health, relationships, productivity and time away from work.
401(k): FUND CHANGES and RESOURCES
- Understanding Plan Fees – For Reliable Contracting’s plan, the fee was reduced to -10%. The way the fees are displayed is also changing. Click here for the full article.
- Fund Change Memo, provided by StratWealth, Effective 4/23/2018
- Fund Change Memo, provided by StratWealth, Effective 6/30/2017
- Fees Change Memo, provided by John Hancock, dated March 15, 2017
- 404a-5 Investment Notice provided by John Hancock, dated August 9, 2016
INTRODUCING – ROTH 401(k)
- NEW Roth 401k Information Packet, provided by StratWealth, uploaded 7/11/2017
- Choosing Between Traditional and Roth 401(k)s, provided by John Hancock, uploaded 8/2/2017
- Employee Information Change Request Form – Use this form to change personal information, change contribution amounts, stop deferrals, or change from a traditional 401(k) to a Roth 401(k). To open an account, contact Human Resources.
- 2017 Profit Sharing Statements were mailed to employees’ homes on October 15, 2018. Contact Human Resources if replacement copies are needed.