How Should I Manage Medicare Benefits?

Medicare can be a confusing process for employers and employees. One question that we get asked a most often is if an employee turns 65 this month and enrolls in Medicare Part A, can he or she still receive/contribute funds

into an HSA until the end of the year or must he enroll in a different plan now?

Beginning with the first month the employee is enrolled in Medicare, he or she can no longer contribute to the health savings account (HSA). However, the money that is already there is still his or hers.

Whether or not the employee is eligible to make new HSA contributions, existing HSA account funds are not affected. Even if the employee is no longer HSA-eligible, he or she can still take tax-free HSA distributions

to pay or reimburse qualified medical expenses. The trustee will report any distribution to the employee and the IRS on Form 1099-SA, Distributions from an HSA, Archer MSA, or Medicare Advantage MSA.

Qualified medical expenses are those expenses that would generally qualify for the medical and dental expenses deduction. These are explained in Publication 502, Medical and Dental Expenses.

For more information about HSAs click here.

If you have any questions regarding Medicare or you’d like a review of your employee benefits, the Chester County Chamber of Business & Industry offers our members access to the My Benefit Advisor (MBA) program.

More information is available at: cccbi.mybenefitadvisor.com or by contacting Peg Sciortino at 484.351.7494 or peg.sciortino@mybenefitadvisor.com.

board members in the news

Aqua America has announced Michael Fili as Vice President, Distribution of its Aqua Pennsylvania subsidiary. Fili will

manage distribution system operations and oversee a large capital construction budget focused on

pipeline replacement in Pennsylvania.

Mike has served the on CCCBI’s Board of Directors since October 2012

DFT® Awarded Company of the Year by the World Trade Center of Greater Philadelphia

David Moser is the president of DFT, Inc. in Exton. David is an original CCCBI Board Member, dating back to our inception in 1992

and chaired the board of directors from 2002-2004

Learn more about DFT, Inc. and their recognition here

In Forrester’s 2016 report, Solid Content – Not Choice of Tactics – Creates a Successful B2B Marketing Mix, B2B marketers ranked Content Marketing as the #1 most effective marketing tactic.

But what is it?

In short, Content Marketing is the process of providing truly relevant and useful content to your prospects and customers to help them solve their business challenges.

And it comes in many forms, shapes and sizes...

According to a 2016 Content Marketing Institute study, organizations use the following Content Marketing tactics.• Social media – other than blogs: 93%• Case studies: 82%• Blogs: 81%• eNewsletters: 81%• In-person events: 81%• Web site articles: 79%• Videos: 79%• Illustrations/photos: 76%• White papers: 71%• Infographics: 67%• Webinars/webcasts: 66%• Online presentations: 65%And B2B marketers are using it to drive business...

From the same Content Marketing Institute study, companies use Content Marketing to achieve the following organizational goals:• Lead generation: 85%• Sales: 84%• Lead nurturing: 78%• Brand awareness: 77%• Engagement: 76%• Customer retention/loyalty: 74%• Customer evangelism/creating brand advocates: 61%• Upsell/cross-sell: 58%

Josh Steimle, an author who writes and speaks about marketing, identifies the four steps of the buying cycle as “awareness, research, consideration and buy.” He notes that traditional advertising and marketing are great when it comes to the third and fourth steps. Content Marketing, he says, “taps into the first two stages of the buying process by raising awareness of solutions and educating consumers (prospects) about a product they may have never considered before.”

Content marketing isn’t all new - per se - but the channels available to distribute content and engage prospects have.

That is what the buzz is all about; that may be what you are missing.

Content Marketing: The Most Effective B2B Marketing Tacticby: Chris Murray, Executive Vice president get your game plan before the game gets you

by: Nancy Stampahar Are you still on track with your New Year resolutions?

Onward! Spring is a time of year when we are reenergized for a fresh start and achievement. We are determined that this is the year where we will either keep our resolutions or create them for the first time. We swear this is the year and shout, “I Can Do It!.” We truly believe we can achieve success at this point in time. However, according to NYMag.com a little more than half of Americans make New Year’s resolutions, but only 8% of those who do succeed in meeting their goals.

What happened to the other 92% who held such strong beliefs and determination? They failed – only because they quit. Why did they quit? They mostly quit because either they did not have a specific, written action plan or really did not want to achieve their resolution.

It is critical to be certain your resolutions are YOUR resolutions. They cannot be resolutions that you created to please others or because you know you “should” do. YOU have to authentically WANT the desired outcomes you hope to achieve. Wanting something is the only way human beings can be motivated. This is Psychology 101. The most important question you can ask yourself right now is, “Why do I want this resolution?” When we truly want something, we will make the best choices to achieve success. Our lives are based on the choices we make. Remember, every choice we make today affects our tomorrow. It is up to you to use your power of choice.

Once you decide what you want to be different in your life or organization, you must create a game plan that has written strategies and tactics that will serve as the how-to guide to achieve your desired outcomes. It is important that individual and organization goals are: Specific, Measureable, Attainable, Relevant, and with Timelines. Without written S.M.A.R.T. goals, failure is almost certain.

Goals help:

1 Provide direction and focus.2 Increase motivation.3 Increase confidence.4 Bring success!

What is the vision of your future? It has been proven over and over again when people and organizations are proactive and future-oriented; they are much happier, fulfilled, and profitable. Operating in a continuous putting-out-fires mode not only increases stress levels but loses about 20% revenue due to the necessary rework from mistakes. Those who remain stuck in the same old routine are watching their life, careers, and the competition pass them by instead of embracing the world’s vast opportunities.

Time is flying by faster and faster each year. Seize the momentum now with your Spring fever! Get your game plan before the game gets you. If you or organization need help writing your game plan, connect with me today. Get your lemonAID and make 2017 your most refreshing year!

Small Business Leadership Spotlight

Roger Richardson, CCCBI Membership Director, sits down with Brenda Russell, Executive Director,

Fiorenza’s Food for Friends (F4)

How would you describe your business, what’s unique about your organization and what challenges do you face?

Fiorenza’s Food For Friends (F4) is a nonprofit organization with a vision of creating a world without hunger. We do this by connecting sources of food to those in need. Restaurants, markets, caterers, or schools may have excess food that gets discarded because they over purchased or the food is getting close to expiration. F4 identifies these resources with food and connects them directly with a local nonprofit to rescue the food. We also identify corporations/organizations interested in having nonperishable food drives and connect them directly with a local nonprofit that feeds the hungry.

F4 is unique in that:

1. We support, and do not supplant, organizations that feed the hungry.

2. We cultivate NEW partnerships and relationships within communities on behalf of nonprofits.

3. We identify FREE sources of food for local nonprofits.

4. We do not purchase, transport, or store any food.

5. Our services are offered for free.

F4 strives to provide “Hunger Awareness” about food insecurity and the benefits of participating in a food rescue program. Businesses should know that donating food is LEGAL! In fact, Federal law and Pennsylvania state law provide liability protection for food donors, the nonprofits that distribute donated food, and the gleaners and owners of gleaned property. Businesses that participate in a food rescue program can receive tax benefits.

What are some of the advantages to working or living in Chester County?

F4 is fortunate to be established in Chester County with many generous businesses and nonprofit organizations that support our mission. We have partnered businesses/nonprofits/schools with excess food to local nonprofits that are feeding the hungry. A pizza shop has

consistently donated weekly for the past 5 years. Additionally, local food drives that we facilitated with businesses were then transitioned to the local pantries to maintain those relationships. Because of the support of so many in Chester County, F4 has been provided with opportunities that enabled us to expand our footprint and provide services in 23 states, partnering over 1 million pounds of free food for nonprofits.

When did you decide to start a business/what was your inspiration for branching out on your own?

Derek Fiorenza started F4 after many years of serving food at a local homeless shelter. When he was a sophomore at Villanova University, he asked a caterer to consider donating 25 meals for a local homeless shelter that his family would be serving over the holidays. The caterer agreed. That experience helped to shape the F4 vision and purpose to change the world by feeding the hungry. In 2011, F4 officially became a nonprofit organization. I met Derek in 2013 after seeing an article in the Community Courier seeking volunteers. Today, F4 has become a “go-to” source by many local nonprofits in need of food.

Why did you join the Chamber, what do you find most valuable about the chamber as a small biz owner?

F4 believes that being a member of the Chamber enables us to share our vision of “Creating a world without Hunger” with other Chamber members at events and in the newsletter. “The Voice” is an extremely valuable resource to educate members about hunger in Chester County. I am sure most members know that Chester County is one of the wealthiest counties in Pennsylvania, yet we have over 70,000 residents that are not always sure where/how they will get their next meal. We want to encourage members to help to address food insecurity by reaching out to us for additional information on how they can help. Please visit us at: F4service.org, on Facebook, or call us at 610-955-7090.

Healthy Snacks are Important“Don’t eat that ~ you’ll spoil your appetite!” Many parents have said that to their children just as the child reaches for a cookie, some chips or a cupcake during the day. Many of us take for granted the amount and type of food readily available for the choosing in our homes. There are many children though who never have the opportunity to indulge in something extra between meals.

Almost 50 million Americans, including over 13 million children, do not have access to get 3 nutritious meals daily. There are another 1.4 million homeless children who also struggle to get 3 nutritious meals each day. During the school year, some of these children have access

to school breakfast and lunch programs. However, during the summer months these children and their families must rely on neighbors, local churches and food pantries to substitute meals that were provided by their schools. Food pantries are usually stocked with meal products; rice, instant potatoes, canned vegetables, etc. as these foods are often donated through food drives. These items are great to prepare a well-balanced meal. Rarely though are food drives focused on children’s snack needs.

The benefits of healthy snacks for children can include healthy weight, increased energy, mental wellbeing/focus, learning ability, strong bones, and much more. While the benefits of good daily nutrition for children are gleaned from various food groups, often the nutritional benefits of healthy snacks are overlooked and therefore not provided outside of the school year. Snacks are a healthy and fun part of a child’s day. Nonperishable items such as crackers, granola bars, juice boxes, pretzels, low fat & low sugar pudding cups, protein bars etc. can go a long way in helping children receive the nutrients they need and provide sustenance between meals when other choices like vegetables or fresh fruit aren’t available. A nonperishable summertime food drive that focuses on healthy snacks for children can be a fun and different type of food drive. To establish a FUN food drive, connect with F4. We will partner you with your local food pantry to receive some healthy snacks!!

Fiorenza’s Food for Friends (F4) is a 501c3 charity with a vision to “Create a World without Hunger”. The mission of F4 is to “Connect sources of food to recipients in need”. F4’s goal is to create hunger awareness through education, inspire others to become engaged, and provide avenues to eradicate hunger through non-perishable food drives and our food rescue program.

Visit the website at www.f4service.org or contact the executive director Brenda Russell at Brussell@f4service.org, 610-955-7090.

Summit Group Retirement Planners, Inc.Retirement in America: Retirement Plan Forfeitures Revisited

Employer sponsored retirement plans (401(k)/403(b) for example) can contain retirement plan forfeitures. Retire-ment plan forfeitures are nonvested employer contributions of terminated participants. There are several ways that retirement plan forfeitures can be utilized, and as a plan sponsor serving in a fiduciary capacity it is important to understand these parameters.

In January of 2017, the IRS proposed legislation that should be welcomed news for plan sponsors enabling plan sponsors to utilize plan forfeitures to fund safe harbor contributions.

Uses of Retirement Plan Forfeitures

According to the Vanguard commentary piece, “Avoiding pitfalls in retirement plan forfeitures,” the guid-ance provided by the Internal Revenue Code (IRC) and relevant Internal Revenue Service (IRS) suggests that plan forfeitures may be used in several ways. They are:

- Reducing future employer contributions;

- Paying reasonable retirement plan expenses;

- Allocating among participants as additional contributions; and

- Restoring previously forfeited participant accounts

Under this new proposal, the use of forfeitures would be expanded. The regulation would amend the definitions of qualified matching contributions (QMACs) and qualified non-elective contributions (QNECs) in 401(k) plans, and plans that provide for matching contributions or employee contributions under code Section 401(m). What it would change is the classification of the definition by stating employer contributions would qualify as QMACs or QNECs if they are able to satisfy applicable nonforfeitability and distribution requirements when they are allocated to employ-ee’s accounts, regardless of the fact they didn’t meet those requirements when originally contributed. According to the IRS, this regulations would apply as of taxable years beginning on or after the date the regulations are published in their final form.

Key Takeaways

Retirement plan forfeitures can be utilized in a variety of ways. Under this new proposal, employers would be able to utilize forfeitures to fund the safe harbor match for their current employees. This is a nice proposed benefit for employers utilizing a safe harbor match who still have a forfeiture balance to exhaust those funds first before writing a corporate check to cover the contribution.

Further Reading

For further information, please contact a Summit Group Retirement Planners, Inc. Representative: 267-433-1050 or dfiorenza@sgretirementplanners.com. Summit Group Retirement Planners, Inc. specializes on collaborating with employers on the design, installation, and ongoing servicing needs of their retirement programs.

Investment advice offered through Summit Group Retirement Planners, Inc., a Registered Investment Advisor.

This information is not intended as authoritative guidance or tax or legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

References

https://www.dol.gov/sites/default/files/ebsa/about-ebsa/our-activities/resource-center/publications/401kPlansSmallBusiness.pdf

“Avoiding Pitfalls in Retirement Plan Forfeitures” – Vanguard Commentary July 2014

https://s3.amazonaws.com/public-inspection.federalregister.gov/2017-00876.pdf?utm_campaign=pi%20subscription%20mailing%20list&utm_source=federalregister.gov&utm_medium=email

http://www.napa-net.org/news/managing-a-practice/regulatory-compliance/proposed-reg-would-free-up-forfeitures-to-fund-safe-har-bor-contributions/

by Derek Fiorenza COO/CCO Summit Group Retirement Planners, Inc.