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DOL Publishes COBRA Model Notices and FAQs

April 07, 2021

The DOL released a dedicated webpage for information related to COBRA Premium Assistance under the American Rescue Plan Act of 2021 (ARPA).
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AT A GLANCE

On April 7, 2021, the DOL released a dedicated webpage for information related to COBRA Premium Assistance under the American Rescue Plan Act of 2021 (ARPA). In addition to the website, the DOL also released a FAQ document.

FAQs

The DOL published a set of FAQs to help interested parties understand the law. Employers, plan sponsors, and COBRA administrators will welcome the agency’s clarification that the extended deadline relief provided in Notice 2021-01 does not apply to the notice or election periods related to COBRA premium assistance under the ARPA.

Next Steps

Employers subject to the COBRA should check with the COBRA administrators for details about how the subsidy program will be supported. For clients with Paylocity COBRA services, look out for future communications detailing how Paylocity will support the COBRA premium Assistance program.

Thank you for choosing Paylocity as your Payroll Tax and HCM partner. This information is provided as a courtesy, may change, and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, Tax Attorney or Advisor.