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Administrator Guide
Last Updated: 2026-03-13
Create Benefit Groups

Create Benefit Groups

  • Create benefit eligibility rules.
  • Define enrollment event rules.
  • Set up benefit credits.
  • Security:
    • Set Up: Benefits
       in the Benefits functional area.
    • Manage: Benefits for Organizations
       in the Benefits functional area.
Workday enables you to create dynamic benefit groups. Using eligibility rules that define membership criteria, Workday automatically assigns employees that meet the criteria to that group.
Example: Use eligibility rules to assign executive management staff to a single benefit group, salaried employees to a second group, and hourly employees to a third group.
When you create benefit groups, only include workers who are eligible for any benefits. When you launch open enrollment, all included workers receive open enrollment notifications to participate, even if they can't make benefit elections.
You can also define how Workday applies benefit credits or offsets for a specific benefit group or a coverage type within the group.
  1. Access the
    Create Benefit Group
     task.
  2. On the
    Group Rules
     tab, consider:
    Option Description
    Enrollment Event Rule
    Defines how Workday processes changes in coverage for the benefit group.
    Waiting Period Calculation Order
    Calculates the start date for a benefit plan when an enrollment event has both a waiting period and a begin date.
    Frequency
    Defines the frequency displays during benefit enrollment and when viewing current benefit elections.
    Country
    Defines the country in which the benefit group is valid. This option is useful if you have employees in multiple countries, and would like to assign 1 country to this benefit group.
    For enrollment event types that you set up by country, select the country used in the
    Restricted to Countries
     field on the
    Create Benefit Event Type
     task.
    Enrollment Signature Line
    Adds an employee signature line on the printable enrollment summary and the printable beneficiary designation page.
    EOI Takes Effect On Date
    If you don't select a date, Workday automatically selects the approval or denial date.
    Calculate Remaining Pay Periods as of Period End Date
    Used to calculate the number of remaining deductions for health savings accounts and spending accounts. Select this check box to include all pay periods that end in the plan year, even if the payment date is outside the plan year.
    Include Pay Periods that End Before the Deduction Begin Date
    Used to calculate the number of remaining deductions for health savings accounts and spending accounts. Select this check box to include pay periods that end before the Deduction Begin Date, if they have a payment date after the Deduction Begin Date.
    Adjust Final Pay Period Deductions in Workday Payroll to Meet Annual Goals
    Calculates a variable HSA or spending account deduction for the final pay result of the year if Workday can't evenly divide the total deduction amount across paychecks. Example: You have 24 pay periods and the employee selects a $2000 election. The value per pay period is approximately $83.33, but totals $1999.92 across all pay periods. To meet the exact $2000 goal, Workday can adjust the deduction in the final pay period to $83.41.
    When selected, enter a threshold percentage of 1% or more in the
    Maximum Percent Change from Previous Deductions
     field.
    The worker needs to have an HSA or spending account deduction on the next to last pay result of the year. Workday uses the threshold percentage with this deduction to determine the amount of the final deduction, rounding up or down. If the amount needed to true up the final payment is outside of the maximum percentage change, Workday doesn’t add or subtract any amount.
    Example: The next to last pay result is $100 and you set the
    Maximum Percent Change from Previous Deductions
     check box to 1 percent. Workday Payroll can add or deduct an additional $1 from the last pay result to true up the deduction.
    You can't select this option if you select the
    Calculate Remaining Pay Periods as of Period End Date
     check box.
    Calculate As Of
    Defines the date Workday uses to calculate the employee age.
  3. On the
    Benefit Credits
     tab, consider:
    Option Description
    Enable Benefit Credits
    (Optional) Select to enable benefit credits for the benefit group.
    Enable Remaining Benefit Credits
    (Optional) Select
    Enable Remaining Benefit Credits
    , to display the remaining credits and credit offsets to workers during enrollment on their benefits statements.
    Display Benefit Credits in Enrollment
    (Optional) Select to display benefit credits and offsets during an enrollment event.
    Excess Credits to Health Spending Account (Canada)
    Available if you clear
    Enable Remaining Benefit Credits
    . Applicable only with the benefits integration for Sun Life and when you select
    Flex Credits can be Applied
     check box on the
    Maintain Benefit Coverage Types
     task.
    Clear this check box if you want to add unused credits to employee-taxable income.
    To calculate the cash value of unused flex credits, enter an earning in the
    Earnings and Deductions
     field.
    Source Coverage Type for Unused Plan Credits
    Add the coverage types from which you can select unused plan credits.
    Benefit Group Credits
    Assign benefit credits and bundles to this benefit group.
    Earnings Code
    Select any applicable earning codes for the benefit group.
  4. Assign credits to coverage types in the
    Coverage Types Credit
     grid. Consider:
    Option
    Description
    Coverage Type
    Coverage types created in the
    Maintain Benefit Coverage Types
     task.
    Credits if Eligible
    The credits available for the coverage types that meet eligibility rules for the benefit group.
    Credits if Elected
    The credits available if members of the benefit group elect the coverage type.
    Credits if Waived
    The credits available if members of the benefit group waive the coverage type.
    Earnings Code
    The earning codes for the coverage type.
  5. Select deduction offsets and their priority to help defray benefit plan costs with credits. Consider:
    Option
    Description
    Coverage Type
    Select coverage types that have the
    Flex Credits can be Applied
     check box selected in the
    Maintain Benefit Coverage Types
     task.
    Benefit Credit Offset Order
    To indicate a higher priority, enter a lower value.
  6. (Optional) Select retirement savings plans that workers can contribute remaining benefits to. Consider:
    Option
    Description
    Coverage Type
    Select the retirement coverage types that workers can contribute remaining credits to.
    Display Order
    Define that order that the coverage types display for workers during the enrollment process.
  7. Map obsolete plans to new ones.
    Use the
    Benefit Plan Mappings
     tab to replace any obsolete benefit plan with another. During open enrollment, Workday converts employees to the new benefit plan. Successful conversions require:
    • Coverage targets between the old and new plans must be the same for health care and additional benefit plans.
    • Insurance coverage targets between the 2 plans must be the same.
    • The coverage levels and coverage type for the old insurance plan must match the new plan.
    • Dependents in health care and insurance plans must meet the eligibility rules for the new plan.
    • The employee contribution type (% or flat amount) in retirement plans must be the same.
    • The minimum and maximum values/max values must be the same in the retirement plans.
    • The currency in the old plan must match the new plan.
    • A benefit enrollment event.
    Best Practice:
     When a benefit plan becomes obsolete, you can use the
    Do Not Use
     check box in the
    Create Benefit Plan
     task to hide the plan in any
    Benefit Plan
     prompt.
  • Test the eligibility rules for your benefit group, ensuring that workers have 1 group assignment each.
  • Associate the benefit with a benefit plan using the
    Create Benefit Plan
     task. Not all workers in a benefit group have to qualify for the same benefit plan. You can define eligibility criteria at the plan level to limit certain plans to subgroups within the larger benefit group.
  • Enable benefit group persistence to use eligibility information that Workday saves daily. You can select the
    Use Persisted Benefit Groups
     check box in the
    Edit Tenant Setup - HCM
     task. Workday tasks frequently check eligibility, and using this option can improve performance.