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June 2012 Bulletin

From: The Benefit Specialists Corp. <sean.murray@telus.net>
Subject: News from The Benefit Specialists Corp.
Reply: sean.murray@telus.net

Dear sean,

 

We hope you enjoy the June 2012 edition of our bulletin.  Please feel free to

contact us if you ever have any questions or concerns, we are here to help!

 

 The Benefit Specialists Corp. Newsletter

 

      

                            June 2012
 
In This Issue
 Quick Links
www.beneco.ca   

View our videos on YouTube
 Follow us on Twitter
 Find us on Facebook
 View our profile on LinkedIn

How to do Things

www.howtodothings
 .com
TSN
www.tsn.ca 
 
Best Doctors Elite
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The Benefit Specialists Corp. is more than willing to answer any questions you or anyone you know may have had.  If you know someone who has questions regarding the insurance industry or anyone who wants to join our mailing list please contact me, or forward this email to them and get them to click the join our mailing list button below.

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Dividends and Profit Sharing and How it Affects Your Employee Benefit Plan.
 

  

Occasionally we see decision makers working closely with their Accountants to create tax advantages for the company by paying dividends to a non salary shareholder or contractor.

  

 

Unfortunately, Insurance Companies who handle group employee benefit plans have not caught up to their way of thinking and do not include dividends or profit sharing as part of the definition of earnings. Contractually they cannot provide any benefits for Long or Short Term Disability and will only offer a minimal amount of Life Insurance.

 

The concern from the insurance companies is that they cannot gauge the true loss of income, if the owner is still able to collect dividends while they are off sick or disabled. There is no true loss of income and therefore would not be eligible for disability benefits.

 

 

Independent Contractors

 

 

  

 

 

The changing nature of the workplace has opened up a lot of opportunities for more flexible employment arrangements. Given the chance, many people become independent contractors, selling their services to the highest bidder.

 

From a tax perspective, the difference between an employee and an independent contractor are payroll or government sponsored deductions for income tax, such as C.P.P. and E.I.  This results in the contractor not receiving a T4 or T4A slip from the Employer, and subsequently would not be considered an employee and would not meet the contractual definition. They would not receive any disability benefits as well.

 

Some of the questions an insurance carrier may ask in regard to placing an employee who is a contract worker under group benefits.

 

Do they work exclusively for the company, and work for the plan sponsor on a regular, full time basis (i.e. at least 20 hours per week)?

 

Is there a minimum 6 or 12 month renewable contract in place to provide coverage to the contractors, (benefits will cease when the individual's contract with the plan sponsor terminates)?

 

 

 

The plan sponsor is required to remit premium for independent contractors. In order for the plan sponsor to maintain non-taxable status of the benefits plan, CRA requires the plan sponsor to either fully recover premiums from the contractors on an after-tax basis OR to account for the premium as a taxable benefit to the contractor.

 

 

Should these two situations apply to your group benefits, please let us know so that we can work with you and the carrier to ensure your plan is set up correctly

 

 

 

 

 

 

 

 

 

 

 

 

Alzheimers Employee Assistance Article.
Source: Shepell-FGI
 

  

Alzheimer's Disease is a degenerative, progressive type of dementia that causes problems with memory, thinking and behaviour.

 

Symptoms usually develop slowly and get worse over time, becoming severeenough to interfere with daily tasks. Discovering a loved one has Alzheimer's disease can be devastating. We explore what it's like caring for someonewith Alzheimer's by walking a mile in Trish T.'s shoes. Trish's mom was diagnosed five years ago and has learneda lot since-about the system, the challenges of being a "sandwicher" and how to celebrate the little things.

 

Tell me about your mom. How old was she when she was diagnosed?

 

My mom was social. She kept a meticulous home and there was always something cooking in the oven in case of visitors - she was social and had an open door policy. She was diagnosed with Alzheimer's related dementia five years ago at the age of 70.

 

Looking back, what were the signs and symptoms of Alzheimer's your mom experienced?

 

Before her Alzheimer's diagnosis, my mom experienced dramatic hearing loss so in hindsight, there were many signs but they went unnoticed because we thought they were due to this. She became less vocal and didn't contribute to conversations much. Also, her kitchen cupboards suddenly became incredibly packed and unorganized. Normally, her cupboards are highly organized and anything less than that would cause her anxiety, but she seemed unaffected. And then there was the incident that made us realize something was terribly wrong; she went to go to a doctor's appointment and ended up 40 kilometers away after boarding the wrong train. We got a call from the police who told us that staff at the train station found my mother wandering, disoriented and confused. At this point, we knew it had nothing to do with her hearing loss.

 

What are the challenges of caring for someone with Alzheimer's?

 

At first we thought, "How are we going to deal with this? What should we expect?" Ultimately, we made the decision that it was best to keep her at home and do anything we could to accommodate her there. Some of the biggest challenges were removed when we made my parents' home accessible. Before this it was hard, for example, to guide her into the tub because she couldn't hear or follow instructions. She is no longer as mobile as she was and so there is no risk of her wandering. Personally, my biggest challenge is juggling two homes ("sandwich generation"). I'm constantly coordinating care for my parents and taking care of my own family - especially my 13-year old son who demands a great deal of my time.

 

Tell me about some of the tasks you do to help on a regular basis?

 

My 84-year old father cares for my mom at home and has committed to doing so as long as he can. I'm currently the main contact and family "coordinator" for all her care including her visits to her day program, visits by her home care providers (for personal care, help with feeding and caregiver relief). I am constantly trying to find ways to make life easier for my father to care for her in their home.

 

What are some tips you can provide to someone who has just learned a parent has Alzheimer's?

 

The best advice I was given, is to contact the local Regional Geriatric Program as soon as a loved one is diagnosed. Nothing compares to dealing with geriatric professionals who really "get" this disease. Prior to this, we felt lost in the system. Also, contact your local community care network-they are a wealth of information and the best navigators through the system.

 
The information contained in this bulletin is for general information purposes only. The articles published in this bulletin have been collected by The Benefit Specialists Corp. (TBSC) and we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability or availability with respect to the information, products, services, or related graphics contained.  Any reliance you place on such information is therefore strictly at your own risk.  In no event will we be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits out of, or in connection with, the use of the information contained in this bulletin.  Through this bulletin you are able to link to other websites which are not under the control of TBSC.  We have no control over the nature, content and availability of those sites. The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.
Sean Murray
The Benefit Specialists Corp.
sean.murray@beneco.ca
(403) 547-5236
 
This email was sent to sean.murray@telus.net by sean.murray@telus.net |  
The Benefit Specialists Corp. | 339 Tuscany Estates Rise NW | Calgary | Alberta | T3L 0C6 | Canada