"These frequently asked questions supersede earlier FAQs that were posted in FS-2024-22. This fact sheet [FS-2026-10] updates frequently asked questions related to educational assistance programs under section 127 of the Internal Revenue Code (a section 127 educational assistance program). The FAQ revisions are as follows: [1] Revised background description; [2] Revised throughout for One, Big, Beautiful Bill Act amendments and minor clarifications and renumbering; [3] Modified sample plan."  MORE >>

"McKee confirms that there are limits to state PBM regulation. States may regulate PBM reimbursement rates and other costs, but when they: Require inclusion of all willing pharmacies in networks, or Prohibit differential copays and other steering mechanisms within networks, they are dictating ERISA plan structure and administration and risk preemption, at least as applied to self‑funded plans." [McKee Foods Corporation v. BFP Inc., No. 25-5416 (6th Cir. Apr. 7, 2026)]  MORE >>

"In March 2025, 60.0% of the non-elderly, or about 165.6 million people, had ESI. About four in five (80.4%) adult non-elderly workers worked for an employer that offered ESI to at least some employees, a share that has been consistent over recent years. The share of workers eligible for ESI at their job declined slightly over the past few years, from 75.3% in March 2023 to 74.6% in March 2025. Most eligible workers who do not take up ESI offered at work cite other coverage (63.0%) and cost (30.2%) as the reason."  MORE >>

"Open enrollment is one of the most important workplace processes, accounting for nearly 40% of labor costs ... Ensuring the process meets employees' evolving needs is increasingly critical, and for many organizations, investing in and leveraging AI agents may be a good way to improve support and keep up with workers' more involved queries."  MORE >>

"More than 400 million health insurance identities have been breached or compromised since 2021 alone. Yet no breached entity, employer, third-party administrator (TPA) or health insurance carrier has offered any protection against identity theft and fraud against health insurance benefits. This is potentially a large, yet unaddressed risk to plan sponsors and their servicers that benefit brokers and advisers need to help their employer clients guard against."  MORE >>

"One nonprofit hospital system in Pennsylvania, Jefferson Health, said the cost of GLP-1 drugs has jumped to 40% of its insurance spending. As a result, the organization's CEO, Dr. Joseph Cacchione, stated the issue led to more than 600 employees being laid off. Last year, the costs left Jefferson Health's insurance arm with a reported loss of nearly $180 million."  MORE >>

"Lawsuits by doctors and other nonhospital providers now dominate health care collections in Connecticut, the records show, accounting for more than 80% of cases filed against patients and their families in 2024. That's a major reversal from just five years earlier, when hospital system lawsuits made up three-quarters of health-related collection cases in the state's courts.... The lawsuits are typically over bills of less than $3,000[.]"  MORE >>

"Officials predicted 130,000 applications for the entire year; 62,000 people applied by the end of March.... Small-business employers report varied experiences with the program, with some grateful for the chance to offer workers a benefit they previously couldn't afford while others bemoan the added cost and last-minute gaps that create administrative headaches."  MORE >>

"Reference-based pricing is a mechanism for an employer to say, contractually and clearly, that the plan will pay a fair and defined rate, typically 120 to 140 percent of Medicare, rather than whatever number a revenue cycle department conjures. The math is straightforward. The fairness argument is airtight. The legal framework is solid. What is not straightforward is the organizational commitment required to make it stick. That is the part most brokers gloss over, most consultants underestimate, and most employers discover too late."  MORE >>

"[T]he Memorandum represents a significant recalibration of EBSA's enforcement approach with the apparent intent of providing greater predictability for plan sponsors and fiduciaries. Plan fiduciaries should nonetheless remain vigilant, particularly with respect to the enforcement priorities included in the Memorandum."  MORE >>

"This checklist helps employers understand their obligations when an employee notifies them of a need for military leave. The Uniformed Services Employment and Reemployment Rights Act (USERRA) provides federal job protection to employees serving in uniformed services, which include active and inactive duty and training in the armed services, reserves, National Guard or Air National Guard, and more."  MORE >>

"Under SB170, if an employee with a non‑compete is fired 'without cause,' then the non‑compete is unenforceable unless the employer provides 'severance benefits or other monetary payment,' which must be 'disclosed upon execution' of the agreement. The law does not define 'cause,' 'severance benefits,' or 'other monetary payment.' Nor does the law mandate that the required monetary payment fully compensate the employee for the restricted period. The law affects only non‑competes entered into or amended on or after July 1, 2026."  MORE >>

"PLR 202434006 permitted an election between a defined contribution plan, an HRA, an HSA, and student loan payments under a qualified educational assistance program. The [OPTIONS Act (HR 8314)] goes beyond that and allows an election for any benefits that are excluded under the Code. Presumably, this would include benefits such as a dependent care assistance program and a Trump Account."  MORE >>