Preview Questions Employee Benefits Lawyer | Role Specific Skill

Question 1: What is the role of the Department of Labor (DOL) in enforcing ERISA regulations?

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The DOL manages pension plans directly for the employer

The DOL reviews only employee claims for retirement benefits, not plan compliance

The DOL only provides advisory opinions but does not enforce ERISA regulations

The DOL oversees and enforces ERISA compliance, including ensuring that plan fiduciaries meet their obligations

Question 2: How should an Employee Benefits Lawyer approach the compliance requirements for "grandfathered health plans" under the ACA?

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Grandfathered health plans apply only to self-insured plans

Grandfathered health plans are exempt from some ACA requirements, but the lawyer should ensure they still meet key provisions, like coverage for dependents

Grandfathered health plans are fully exempt from ACA compliance

Grandfathered health plans must be completely redesigned to meet ACA requirements

Question 3: How should an Employee Benefits Lawyer interpret the "30-hour workweek" rule under the ACA, and what is its significance for employers providing health benefits?

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Employees who work 35 hours or more must be offered benefits

The ACA does not apply to part-time employees who work less than 40 hours per week

Employees who work 30 hours or more per week are considered full-time employees under the ACA, and the lawyer should ensure that these employees are offered healthcare benefits

The 30-hour rule only applies to union employees

Question 4: Under Section 125 of the Internal Revenue Code (IRC), what is a "cafeteria plan" and how is it taxed?

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It allows employees to choose from a variety of pre-tax benefits, and the value of the benefits is excluded from taxable income

It provides employees with a taxable allowance that can be used for health or other benefits

It requires that employer-provided health benefits be taxed as income for employees

It mandates that all benefits offered to employees are taxable unless specifically excluded by the IRS

Question 5: How does the "early withdrawal penalty" work for retirement accounts under the IRC?

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It imposes a 10% penalty on distributions taken before age 59?, unless an exception applies

It allows individuals to withdraw funds without penalty if they are over 50

It applies a 25% tax rate on early distributions

It applies only to IRAs and not 401(k) plans

Question 6: What is the primary purpose of "plan amendments" in pension and retirement plans?

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Plan amendments are only required when the company's financial performance improves

Plan amendments allow participants to change their contribution amounts or benefit levels directly

Plan amendments allow the plan to be updated in response to changes in laws, regulations, or employer preferences

Plan amendments require approval by the Department of Labor, but not by plan participants