Is your SUB plan still compliant?
Supplemental Unemployment Benefit plans used to be exempt from annualization, but not anymore. A DOL ruling stated that these plans must be annualized, changing how much credit companies can take for their fringe contributions. As a result, many plans may no longer be compliant with federal law.
This affects all companies that work on government funded projects and use SUB plans to pay fringe.
There’s a better way to handle fringe benefits
Our fringe trusts are the most innovative fringe solution on the market today. Unlike SUB plans, our trust:
Provides all the same tax benefits but is NOT subject to annualization
Allows you to take full credit for your fringe benefit contributions.
Gives employees flexibility to save OR use get access to their fringe payments each week.