Originally Posted by NWBenefitProvider
I have very little patience for the people out there trying to screw over everyone else by trying to play these games. If it were me, I'd roll out a group plan and if you don't like it, then don't participate.
If Mr. Me first kept up the complaining or trying to hold the group from getting a real group plan I'd send him packing. If you know what he's up to, then it isn't hard for the rest of the employees to also be aware that this guy is not willing to go along with what is in the interest of everyone.
Rant over. Sorry.
Agreed. But the business owner is the one who is really at fault here. One of 3 things are going on:
1. He is not taking the time needed to fully vet what he is doing.
2. He is being cheap and not paying for advice (although an insurance agent would tell him this for free... so #1 & #2 are essentially the same).
3. He is purposely and knowingly violating Federal Regulations.
Whichever one it is, he is negligent in his actions. He is risking fines, and even lawsuits from employees if the employees are assessed for unpaid taxes. And of course the moral aspect of screwing your employees with the IRS. Good news for the OP is that courts are now starting to make employers pay part of those unpaid taxes sometimes. But I dont know that there is any set rule on it at the moment. An employment law attorney would know.
It could be worse though. He could have fallen for the "Classic 105" scam that just got busted by the DOL/IRS.