This table is required when you are using the "PCTDED" (Percentage of Deduction) method for a contribution, and the employer's matching percentage changes based on the percent that the employee is having withheld. If the rate is always the same, do not use this table; enter that rate in the Rate % field on the main screen. This table is also required when you are using the "PCTANN" (Percentage of Annual), "PCTREG" (Percentage of Regular), and "PCTGRS" (Percentage of Gross) methods for a contribution, and the employees matching percentage change is based on the amount of Annual, Regular or Gross wages, respectively. If you are using "PCTANN," "PCTREG," or "PCTGRS," the Rate % field on the main screen must be 0.00.
Example 1:
|
Wages/Rates Over |
Up to and Including |
Matching % |
|
0% |
.02 |
100% |
|
2% |
.04 |
75% |
|
4% |
.10 |
66% |
Example 2:
|
Wages/Rates Over |
Up to and Including |
Matching % |
|
0% |
.02 |
100% |
|
2% |
.04 |
75% |
|
4% |
.06 |
66% |
|
6% |
.10 |
0% |
Example 3:
|
Wages/Rates Over |
Up to and Including |
Matching % |
|
0.00 |
68,400.00 |
7% |
|
68,400.00 |
250,000.00 |
9% |
|
250,000.00 |
1,000,000.00 |
11% |
If you are using "PCTDED" (Percentage of Deduction), this table is appropriate only if the deduction code is both a deduction and a contribution. If you are using "PCTANN" (Percentage of Annual), "PCTREG" (Percentage of Regular), or "PCTGRS" (Percentage of Gross), this table is appropriate for a deduction code that is a contribution only or both a deduction and a contribution.
This non-editable field displays the deduction code and description for which you are establishing this contribution.
If you selected the "PCTDED" (Percentage of Deduction) method on the main screen, enter the lowest deduction percentage over which a particular matching percentage is required. The characters entered will be interpreted as a rate not to exceed 100%. This rate must equal the Up to and Including field, unless the rate is "0%." If you selected the "PCTANN" (Percentage of Annual), "PCTREG" (Percentage of Regular), or "PCTGRS" (Percentage of Gross) method on the main screen, the characters entered will be interpreted as wages. Enter the lowest wage over which a particular matching percentage is required. This wage must equal the Up to and Including field, unless the wage is "0.00."
If you selected the "PCTDED" (Percentage of Deduction) method on the main screen, enter the highest deduction percentage for which a particular matching percentage is required. If you selected the "PCTANN" (Percentage of Annual), "PCTREG" (Percentage of Regular), or "PCTGRS" (Percentage of Gross) method on the main screen, enter the highest wage for which a particular matching percentage is required.
Enter the employer percentage that should be contributed for the range of employee contribution percentages or wages on the row. This will be multiplied by the applicable employee contribution to calculate the employer's matching contribution. Using the table from Example 2, if the employee contributes 3% of salary, the employer's match would be a total of 2.75% of salary, calculated as (2% x 100%) + (1% x 75%).
Using the table from Example 3, if the employee's gross wages (YTD) were 68,000.00 and his gross wages (this pay period) were 4,000.00, the employer's match would be a total of $352.00, calculated as (400.00 * 7%) + (3,600.00 * 9%).
Also, using the table from Example 3 when the "PCTANN" (Percentage of Annual) method is selected, if the employee had a salary was $85,000.00, YTD gross wages of 65,384.60 and current gross wages of $3,269.23, the employer's match would be a total annual amount of $6,068.00. This would be calculated as (85,000.00 * 92% * 7%) + (85,000.00 * 8% * 9%).
Changes to this screen update the Contributions Matching Rates (CNTRB_MATCH_RT) table.