About Benefit Savings Plans Groups

A savings plans group enables you to combine savings plans so that the employer match contribution is calculated from the combination of the savings plans.

For example, an employer provides a pretax 401(k) plan and a post-tax Roth 401(k) plan. The total employer match is to be no more than 6% of the contribution. An employee with these two plans contributes 5% of his pay to the pretax plan and 3% to the post-tax plan. When these two plans are combined in a savings plans group, the program uses the combined rate tables to determine the total employee contribution and then calculates the total employer match. Before you set up a savings plans group, you must have already set up your savings plans.

To Set Up a Benefit Savings Plan

1. From the navigation pane, select Setup > Employees > Benefits > Savings Plans Group.
2. Select the level at which you want to set up the plan. Select Enterprise or a specific employer from the Employer list. If you want the plan to only be available to a specific employer, select the Employer. If you want the plan to be available to all employers, select Enterprise.
3. Click Add. The Benefits Savings Plans Group Detail page opens.
4. In the Code field, enter a code to uniquely identify the plan group.

   Note: Do not use special characters to define the code, specifically single quote ( ' ), percentage sign ( % ), and underscore ( _ ).

5. In the Description field, enter a longer description of the plan group.
6. In the Employer Contribution Type field, select Amount or Percent. This is used in conjunction with the Maximum Employer Contribution value to determine the maximum employer match for the combined plans in the group.
7. In the Maximum Employer Contribution field, enter the maximum amount or percent for the total employer contribution. To determine the total employer contribution, the program combines the rate tables for all plans in the group. The resulting employer contribution cannot exceed the maximum employer contribution value that is set here.
8. From the Available Plans list, use Select to move the plans you want in the group to the Plans in Group list. You can adjust the calculation priority by dragging the plans up or down in the list.
9. Click OK to save the plan group.
10. Click OK to the Update Benefits message. A message reminds you that you must run Update Benefits to adjust the employer contribution amounts for all employees assigned to the plans within the group.
11. Run the Update Benefits process when you are finished setting up the plan group.

Published: May 17, 2017
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