Calculating contributions based on salary

  1. Select Benefits > Plans > Benefit Plans.
  2. Open a benefit plan and select the Contributions tab.
  3. Click Create.
  4. In the Salary section, specify this information:
    Base Salary

    Select the type of salary to use for the contribution calculation.

    Additional Type

    Select a value to enable the use of amounts specified in the Other Amounts fields in the employee profile. Up to five types can be specified in the employee profile and labeled Other Amount 1, Other Amount 2, Other Amount 3, and so on.

    Date Type

    Select the date type to use to calculate an employee's salary.

    • Current: Select to use an employee's salary on the date an employee enrolls in the benefit.

    • As Of Date: Select to use an employee's salary on the month and day that you specify in the Month Day/Year field.

    • First Of Month: Select to use the employee's salary on the first of the month that the employee's benefit begins. For example, if a benefit is added with a start date of May 15, the enrollment date is calculated based on information from May 1.

    • Flex Calculation Date: Select if this benefit is under a flex plan. The employee's salary is determined using:

    Month Day / Year

    If you select As Of Date in the Date Type field, specify the month, day, and year used to determine an employee's contributions based on salary. If you leave the Year field blank when using the As Of Date, the employee's salary is calculated on the latest month and day specified. If you specify a Year, the employee's salary is calculated from the exact month, day, and year that you specify.

    Minimum / Maximum

    If the plan has a minimum salary for calculating contributions, specify the minimum salary. If an employee's annual salary is less than this amount, this amount is used to calculate contributions.

    If the plan has a maximum salary for calculating contributions, specify the maximum salary. If an employee's annual salary is more than this amount, this amount is used to calculate contributions.

    Rounding Method

    Select the method of rounding salary for contribution calculations.

    • Normal Rounding $20,500 and $20,400 Rounding Method Result of $20,456 and $20,421

    • No Rounding $20,456 and $20,421

    • Round High $20,500 and $20,500

    • Round Low $20,400 and $20,400

    When

    Select whether rounding is done before or after multiplying salary.

    Round To

    Specify the place in which you want the salary rounded. For example, to round to the nearest $100, type 100.