Method and system for providing, administering, and coordinating, a dual-purpose profit sharing plan

Abstract

A process and system where such process implements a definite predetermined formula to allocate a value of a life insurance contract owned by one or more parties to support a payment mechanism owned by each party where such definite predetermined formula calculates an amount to allocate to the profit-sharing account of a plan participant and an amount to allocate to another party to support a workers' compensation purpose.

What is claimed: 
     
         1 . A system for providing at least one employee with a Dual-Purpose Profit Sharing benefit plan (DPPSP), comprising:
 means for establishing the DPPSP as a qualified fund in accordance with Internal Revenue Service provisions;   means for providing retirement benefits and at least one of accident and health benefits within the DPPSP;   means for establishing the DPPSP and at least one of a health sub-account and an accident sub-account as an ERISA plan;   means for determining at least one of an allocation of employee contributions and an allocation of employer contributions to the DPPSP between the retirement benefits and the at least one of accident and health benefits based on a predetermined formula;   storing each of at least one of an employee contribution and an employer contribution in a separate record;   and   processing each said separate record over time maintaining balances and applicable returns to retain prior period activity;   where such contribution means reads program code for the predetermined formula from a non-transitory storage medium;   means for establishing that i) the employer contributions and ii) the at least one of accident and health benefits are excluded from taxation as income, based on at least one federal income tax exclusion rule; and   means for offering the at least one employee the DPPSP.   
     
     
         2 . The system of  claim 1 , further comprising:
 means for receiving contributions to the DPPSP;   means for receiving reimbursements to the DPPSP;   means for establishing at least one of a health sub-account and an accident sub-account in accordance with Internal Revenue Service Code section 105; and   means for processing disbursements from the DPPSP based on the needs of the at least one of the health sub-account and the accident sub-account.   
     
     
         3 . The system of  claim 1 , further comprising:
 means for providing administration of activity for at least one participant with such dual purpose profit sharing plan;   means for interacting with a payment mechanism that is a sub-account of the dual purpose profit sharing plan;   means for calculating a contribution limit;   means for reducing any current period contributions to the limit;   means for calculating and adding any current period contributions to, calculating and adding any current period reimbursements to, and calculating and subtracting any current period disbursements from the sub-account of the dual purpose profit sharing plan.   
     
     
         4 . The system of  claim 1 , further comprising:
 means for coordinating the dual purpose profit sharing plan with at least one additional payment mechanism associated with such at least one participant and where such additional payment mechanism is not a sub-account of the dual purpose profit sharing plan;   means for interacting with the at least one additional payment mechanism.   
     
     
         5 . The system of  claim 4 , further comprising:
 means for determining at least one plan parameter for each payment mechanism;   means for sending the determined at least one plan parameter to the provider of such mechanism.   
     
     
         6 . The system of  claim 4 , further comprising for at least one benefit claim:
 means for determining for each payment mechanism whether he at least one claim should be paid;   means for determining the amount from each payment mechanism to pay the at least one claim;   means for sending the claim determination for the at least one claim to the provider of such mechanism;   means for sending the provider of the payment mechanism the amount to pay the benefit claim.   
     
     
         7 . The system of  claim 4 , where the at least one additional payment mechanism is not for an employee benefit. 
     
     
         8 . The system of  claim 7 , where the at least one additional payment mechanism provides government reimbursement. 
     
     
         9 . The method according to  claim 1 , wherein the DPPSP health sub-accounts provide long-term care benefits. 
     
     
         10 . A system for use by an employer having at least one employee to manage costs and improve financial performance of an employer's employee benefit plans, the system comprising
 a non-transitory storage medium storing program code where such program code is read and executed by:   means for offering the at least one employee a Dual-Purpose Profit Sharing Plan (DPPSP);   means for establishing the DPPSP as a qualified fund in accordance with Internal Revenue Service provisions;   means for receiving contributions to the DPPSP;   means for receiving reimbursements to the DPPSP;   means for establishing at least one of a health sub-account and an accident sub-account in accordance with Internal Revenue Service Code section  105 ;   means for establishing the DPPSP and the at least one of the health and accident sub-accounts as an ERISA plan;   wherein the contributions with associated accumulated earnings are maintained in a plurality of separate sub-accounts or sub-account funds, based on at least one of employer contribution, employee contribution, pretax treatment, post-tax treatment, retirement benefit, health benefit, accident benefit, and life benefit, the contributions and respective ones of the plurality of separate sub-accounts maintained from a date of contribution to a date of final disposition of funds in the respective sub-account in order to maintain each of the interrelated contributions and benefits as a single contract;   storing each of the contributions in a separate record;   and   processing each said separate record over time maintaining balances and applicable returns to retain prior period activity;   means for processing disbursements from the DPPSP based on the needs of the at least one of the health sub-account and the accident sub-account.   
     
     
         11 . A medium communicated process where such process implements a definite predetermined formula to allocate a value of a life insurance contract owned by one or more parties to support a payment mechanism owned by each party where such definite predetermined formula calculates:
 an amount to allocate to a profit-sharing account of a plan participant and   an amount to allocate to another party to support another employer purpose;   storing each amount in at least one separate record on such medium;   such storing to maintain separately each of at least one of an employee pretax, employee post-tax, employer pretax, employer post-tax contribution for each of at least one designated purpose;   and   processing each said separate record over time maintaining balances and applicable returns to retain prior period activity.   
     
     
         12 . The medium communicated process according to  claim 11 , wherein the one or more parties is an insurance company. 
     
     
         13 . The medium communicated process according to  claim 11 , wherein the one or more parties is a State fund. 
     
     
         14 . The medium communicated process according to  claim 13 , wherein the State fund is for workers' compensation. 
     
     
         15 . The medium communicated process according to  claim 11 , wherein the one or more parties is a welfare fund. 
     
     
         16 . The medium communicated process according to  claim 11 , wherein the one or more parties is an employer. 
     
     
         17 . The medium communicated process according to  claim 11 , wherein the one or more parties is an association of employers. 
     
     
         18 . The medium communicated process according to  claim 11 , wherein the one or more parties is an association of employees. 
     
     
         19 . The medium communicated process according to  claim 11 , wherein the another employer purpose is the to make payments for a federal program. 
     
     
         20 . The medium communicated process according to  claim 18 , wherein the federal program is Medicare.