; FAQ 777: Takeover Plans - How to calculate Entry Date retroactively for DB

FAQ 777: Takeover Plans - How to calculate Entry Date retroactively for DB

Problem:

On the attached takeover plan with a BOY 1/1/2026 valuation date, ASC won't calculate an entry date prior to the current valuation date. For example, participant Smith's date of hire is 2/12/2018 and their date of entry should be 7/1/2019, but ASC calculates 1/1/2026.


Solution:

In most cases, the DB system does not retroactively calculate dates of entry for a DB plan participant if the eligibility date would have occurred more than 12 months prior to the valuation date.

We recommend importing participant entry dates because the imported date would be the same as the preceding year and an ASC calculated date may not match what has already been vetted prior to the takeover.

There are options to calculate retroactive entry dates for participants with a status code of “B” depending on the Plan Specifications General > Identification > ELIG screen setting of the Entry Date as follows:
- The Entry Date options of 1 through 5 and A through D WILL NOT calculate entry dates that are more than 12 months before the valuation date.
- The Entry Date options of 6 through 9 WILL calculate retroactive entry dates going back to the plan's effective date.

To calculate only eligibility, in the ASC: Calculations > Valuation menu, select the Partial Calculations option with Eligibility Only checked to quickly update the dates for participant's with status code “B”. After reviewing and updating calculated Dates of Entry, set participant status to A and run full calculations to calculate liabilities.

If entry dates are imported but other plan dates are not, use status code "C" to have the system calculate all other dates, but not recalculate entry dates. Once calculated dates are as expected, you can change their status code to A for active participants to prevent the system from changing the dates when valuation calculations are run. For additional suggestions on takeover plans, refer to the DB Reference Manual's Chapter 4 - Takeover Plans from the ASC: Help > Manuals menu.

There may be other options for calculating retroactive entry dates available depending on the eligibility provisions. Contact Support if more advanced options are needed. Depending on the eligibility provisions, different steps would be used.