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Set up BN15.1 For Employer Contrib only (replace DB plan)

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kvetro60
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Posts: 14
Basic Member
6/1/2015 1:51 PM
    We are going from a DB plan to DC plan where we give employees a % of pay each year after two years of service.  The employee does not contribute to this plan.  I am just trying to figure out which contribution type to select so this will work properly.  We will also be giving employees credit for prior years of service (employee terminated and then is rehired) toward the the two years of service.
    Margie Gyurisin
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    Posts: 538
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    6/1/2015 9:21 PM
      Ours is a flat contribution plan. The deduction is a calc type percent. We give 3% after 1 year of service. Do your percentages change with years of service? Maybe a service rate table??? You'd need to run a BN102 regularly if the rate table would work. Worth a try.
      kvetro60
      Basic Member
      Posts: 14
      Basic Member
      6/1/2015 10:30 PM

        Our employees will have to complete two years of service and there is 3 levels of contribution based on years of service - 2.75 is the first tier and so on.  The employee will see the deduction bi-weekly in his paycheck once he hits the two years of service.  I was getting confused by the different contribution selections since their technically is not match.  I will look at the service rate table.

         

        Thanks!

        kvetro60
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        Posts: 14
        Basic Member
        7/13/2015 2:46 PM
          Just wanted to let you know this worked well.  I added a Service Rate table and created a 3 rows - 1 for each level of years of service with the associated company contribution % and it's working great.  Thanks again.
          Margie Gyurisin
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          7/13/2015 3:37 PM
            Glad to hear you have success.
            kvetro60
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            Posts: 14
            Basic Member
            8/17/2015 5:34 PM

              Hi Margie -

              One thing our new plan is not doing (thankfully only 1 employee qualifies for the company contribution) is not reducing the employee's gross taxable income.  I need this company contribution to be pre-tax.  Is yours set up this way?

               

              Margie Gyurisin
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              8/17/2015 7:39 PM

                No.

                Ours does not affect taxable wages for the employee.

                kvetro60
                Basic Member
                Posts: 14
                Basic Member
                8/17/2015 9:57 PM

                  Thanks!  My Benefits team was telling me that I needed to have the company deduction reduce the gross wages which I didn't think was correct and I was right.  There was really only one way to set up this plan and it's really working the way it should.

                  kvetro60
                  Basic Member
                  Posts: 14
                  Basic Member
                  11/16/2016 7:11 PM
                    Ugh - when I keyed this in production I made a mistake and made it 2 years. Now I am back in test trying to make sure that the 1 year works and I am finding that people with under 1 year of service are getting the employee contribution which is wrong. Margie I see that you had contributions that began after one year of service. How did you set that up? Did you use BN02.3. If so can you send me a screen shot of your set up?
                    kvetro60
                    Basic Member
                    Posts: 14
                    Basic Member
                    11/21/2016 8:11 PM

                      Hi Margie.  You wouldn't happen to have screen shots of your BN15, BN18.3 and BN03.2 set ups for you flat contribution?  We do a % and at first we were doing 2 year, now I am told it's 1 year and when I change the table to 1 year, it seems to be giving the contribution too early.  Infor hasn't been much help and I am really needing to get this resolved.

                      thanks!