; FAQ 267: Coding beneficiaries receiving payments

FAQ 267: Coding beneficiaries receiving payments

Problem:

I have a large frozen DB plan. I have one retiree receiving payments that died this year. I deleted her and added her 3 beneficiaries. She had a 10 year certain, and her beneficiaries now receive 1/3 of her benefit equally. How do I code the system for the 3 beneficiaries receiving payments?


Solution:

The following fields should be coded in each beneficiary's record:

- NAME screen - code the individual's gender.
- DATE screen - code the individual's Date of Birth. Code the Date of Hire, Date of Entry, Normal Retirement Date and NRA to be the same as the original primary annuitant's. Code the status as D - Beneficiary Receiving Payments.
- ACCRBENF screen - enter the current Accrued Benefit and code Annuity Type B - Annuity Certain and enter 10 as the Certain Period.

Alternatively, code the Date of Death as the Normal Retirement Date for the 3 beneficiaries and code the Certain Period as the certain period remaining at the death of the primary annuitant.