; FAQ 424: Applying benefit offset for RMD

FAQ 424: Applying benefit offset for RMD

Problem:

What Plan Specifications and Employee fields need to be changed for the system to offset the accrued benefit and funding calculations?


Solution:

In Plan Specifications:
Set the Compensation \ COMPAVG \ Benefit Add-ons field to '3 - Additional Offset.'

In the Employee screens:
1. In the Benefits \ PROJBENF screen, input the offset in all three Add-on to fields that are used for the additional offset.
2. In the Benefits \ ACCRBENF screen, sufficiently reduce the Prior Accrued Benefit to allow the offset to be applied. (The ASC system will not allow the current Accrued Benefit to be less than the Prior Accrued Benefit.)
3. If the participant is a postponed retiree, make sure their DATE \ Normal Retirement date is the day after the valuation date; do not change their DATE \ Date NRA Attained.