; FAQ 830: PPA Quarterly Interest Program - how is interest calculated in this program?

 FAQ 830: PPA Quarterly Interest Program - how is interest calculated in this program? Problem: How does the Quarterly Interest program work for PPA plan years? Solution: The Quarterly Interest program can be used to do the following:1) Determine required quarterly installment amounts and their due dates2) Determine the adjusted value of employer contributions in Schedule SB categories a, b and c on the appropriate plan valuation date for Schedule SB reporting, and to print a schedule showing the dates and amounts of individual contributions for the Schedule SB line 19 attachment3) For plans with end of year valuation dates, the program can be used to determine and store in plan specs the amount of any pre-contributions and interest on pre-contributions4) For plans with beginning of year valuation dates, the program can be used to determine and store in plan specs and add to the actuarial value of assets the discounted value on the current valuation date of prior year contributions made during the first 8-1/2 months of the plan year5) For plans with end of year valuation dates, the program can be used to determine and store in plan specs the discounted value on the valuation date of current year contributions made after the valuation date and up to 8-1/2 months after the end of the plan year for inclusion in assets for AFTAP purposes6) Determine the contribution deposit amount on a particular date to net to a designated total contribution value for the plan year. To get accurate results for a short plan year, the date before the first day of the short plan year must be entered in Plan Specifications on the ID screen in the PYE Hist 1 field. The program will use this date along with the Plan Year Begin and End dates to determine the number and amount of any required quarterly installments and their due dates.Go to Calculations > Actuarial > Quarterly Interest to open the program and use the F1 key to access a complete explanation of how each program option works.Sample calculations are available in the DB Reference Manual in Chapter 6: Quarterly Interest Adjusted Contributions. Adjustments to the interest calculations due to CARES Act relief is outlined in FAQ 1100: Coding for Extended Funding Deadlines and AFTAP relief under CARES Act of 2020