Taxable Benefit Calculation Method #
This component determines how the taxable benefit amount will be calculated.
Choose the rule that is used as the ‘Taxable Benefit Calculation Method’ rule.
| Rule | Description | Logic | Assoc. | Go to |
|---|---|---|---|---|
| 00 | Use Value from UserCalc | Specify the name of the <User Calc> on the component. The usercalc must be of the type `Function`, with a return value of the type `Numeric`. Use the RET operator to return the numeric value. This value is interpreted by the component as a user provided taxable benefit amount. | B1250 | |
| 01 | Use Value from Element | Specify the <Element> on the component. The value of the element will be used as the taxable benefit amount. | B1250 | |
| 02 | Use Taxable Benefit on Enrollment | Use the taxable benefit amount from the employee’s current enrollment detail or the <BC Value> specified in the component. The employee’s enrollment detail (IBEN) must be initialized with a value, either by conversion or manual input, or through the component value. | B1250 | |
| 03 | Use Taxable Benefit Rate | Uses the taxable benefit rate from the Rates tab or B1200 as the taxable benefit amount. | B1200 | B1250 |
| 04 | Premium Amount | Uses the entire premium amount (B0680) as the taxable benefit amount. | B0680 | B1250 |
| 05 | Contribution Amount | Uses the employer contribution amount (B0840) as the taxable benefit amount. | B0840 | B1250 |
| 06 | Premium + ER Sales Tax | Uses the premium amount (B0680) plus the employer sales tax (B0910) as the taxable ben- efit amount. | B0680 B0910 | B1250 |
| 07* | Contribution + ER Sales Tax. | Uses the employer contribution amount (B0840) plus the employer sales tax (B0910) as the taxable benefit amount. | B0840 B0910 | B1250 |
| 08 | Dedn. + Contr.+ Admin. + ER Sales Tax (SI QC) | Takes the contribution component (B0840) plus the deduction component (B1040) plus the administration fee component (B0730) plus the employer sales tax (B0910) as the taxable ben- efit amount. Rule used for self-insured plans only. | B0730 B0840 B0910 B1040 | B1250 |
| 09 | (Dedn + Contr) * Tax Ben Rate – Deduction | Multiplies the contribution component (B0840) plus the deduction component (B1040) by the taxable benefit rate and then subtracts the deduction amount. | B0840 B1040 | B1250 |
| 10* | Apply IRS Rate Based on Age @ 31st Dec | U.S. only – the age range needs to be indicated on the Rates tab. Uses the taxable benefit rate from the Rates tab or B1200 as the taxable benefit amount. Indicates components B1220 and B1230 and B1240 are required. | B1200 B1220 B1230 B1240 | B1220 |
