; FAQ 730: Current Year Covered Compensation Tables - How to create

FAQ 730: Current Year Covered Compensation Tables - How to create

Problem:

How can I create a covered compensation table for current year compensation?


Solution:

Solution:

There are two methods for creating the Covered Compensation Tables. Method 2 is recommended for Defined Benefit plans. After using either Method 1 or Method 2 you will need to go to Plan Specs > File > Reload Tables. The table will then appear in the list on your drop down menus.

Method 1 - Go to Table Maintenance and click on General > Covered Compensation and click on the Add box. Type CCURRENT in the Table Name field and give it a description such as Current Year Wage Base. Under Table Type, click on the circle next to Table 2 and type in the year of law as the current year (2022, for example); leave the Wage Base inflation box blank. Click Save. This will create the table.

Each year the new Social Security parameters are included in the ASC fall update. After this update is installed on your system the TWB for the year on the ID screen will be used. There is no need to update this table each year.

Method 2 - Go to Table Maintenance and click on General > Covered Compensation and click on the Add box. If you need to create the 2022 table, Type T2 2022 in the Table Name field and give it a description such as 2022 Covered Comp Table. Under Table Type, click on the circle next to Table 2 and type in 2022 as the year of law; leave the Wage Base inflation box blank. Click Save. This will create the table. You will need to create a new table for each new year.