Life Insurance Patti Nash

Objectives Identify Different Methods of Life Insurance Calculations Identify and Set Up Rule and Validation Forms Review Employee Deduction Maintenance Identify Imputed Income Functionality Review Life Insurance Processing

Agenda Life Insurance Methods Rule and Validation Tables Application Form Life Insurance Process Life Insurance Reports

Life Insurance Methods Coverage equals factor times annual salary (calc rule 50) Coverage equals factor times prior year-to- date W2 earnings (calc rule 51) Coverage equals fixed amount based on annual salary range (calc rule 52) Coverage equals fixed amount based on age range (calc rule 53)

Method One Coverage equals factor times annual salary (calc rule 50) PTRBDCA Calc rule 50 Deduction type 15 is taxable for employee Deduction type 16 is taxable for dependent Deduction type 25 is non-tax for employee Deduction type 26 is non-tax for dependent

Method One Continued Amount indicators 1-4 O,S,S,S Respectively Option Codes 1 should be O or N 2-4 should be N 5 is always S PTRBDCA Create code for imputed income-calc rule 54 with deduction type 13

Method One Continued PTRLIFI Identify employee or institution paid PTRPREM Age ranges Premium rate per $1,000 worth of coverage PTRINST PTRGTAX PTRBDFQ Include on tax deductions for I50 PTRBCAT

Method One Continued PDADEDN Assign deduction to employee

Method Two Coverage equals factor times prior year-to- date W2 earnings (calc rule 51) PTRBDCA Calc rule 51 Deduction type 15 is taxable for employee Deduction type 16 is taxable for dependent Deduction type 25 is non-tax for employee Deduction type 26 is non-tax for dependent

Method Two Continued Amount indicators 1-4 O,S,S,S Respectively Option Codes 1 should be O or N 2-4 should be N 5 is always S PTRBDCA Create code for imputed income-calc rule 54 with deduction type 13

Method Two Continued PTRLIFI Identify employee or institution paid PTRPREM Age ranges Premium rate per $1,000 worth of coverage PTRINST PTRGTAX PTRBDFQ Include on tax deductions for I50 PTRBCAT

Method Two Continued PDADEDN Assign deduction to employee

Method Three Coverage equals fixed amount based on annual salary range (calc rule 52) PTRBDCA Calc rule 52 Deduction type 15 is taxable for employee Deduction type 16 is taxable for dependent Deduction type 25 is non-tax for employee Deduction type 26 is non-tax for dependent

Method Three Continued Amount indicators 1-4 O,S,S,S Respectively Option Codes 1 should be O or N 2-4 should be N 5 is always S PTRBDCA Create code for imputed income-calc rule 54 with deduction type 13

Method Three Continued PTRLIFI Identify employee or institution paid PTRCOVR Enter salary ranges and coverage amounts PTRPREM Age ranges Premium rate per $1,000 worth of coverage PTRINST PTRGTAX PTRBDFQ Include on tax deductions for I50 PTRBCAT

Method Three Continued PDADEDN Assign deduction to employee

Method Four Coverage equals fixed amount based on age range (calc rule 53) PTRBDCA Calc rule 53 Deduction type 15 is taxable for employee Deduction type 16 is taxable for dependent Deduction type 25 is non-tax for employee Deduction type 26 is non-tax for dependent

Method Four Continued Amount indicators 1-4 O,S,S,S Respectively Option Codes 1 should be O or N 2-4 should be N 5 is always S PTRBDCA Create code for imputed income-calc rule 54 with deduction type 13

Method Four Continued PTRLIFI Identify employee or institution paid PTRPREM Age ranges Premium rate per $1,000 worth of coverage PTRINST PTRGTAX PTRBDFQ Include on tax deductions for I50 PTRBCAT

Method Four Continued PDADEDN Assign deduction to employee

Life Insurance Process PTRLIFE Update dates per institution practice PDPLIFE Run prior to the first payroll of the month Only run it once per month PDRLIFE Life insurance reporting reflecting premium payments