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Administrator Guide
Last Updated: 2023-06-23
Example: Create a Deduction to Calculate Employee Preferred Provider Organization Plan Costs (USA)

Example: Create a Deduction to Calculate Employee Preferred Provider Organization Plan Costs (USA)

Creating this deduction is the first step in calculating Preferred Provider Organization (PPO) plan costs.
  1. Access the
    Create Deduction
    task.
  2. Enter these settings:
    Option Description
    Name
    PPO EE
    Code
    PPOEE
  3. Enter these settings on the
    Effective Dated
    tab:
    Option Description
    Effective Date
    Current date
    Run Category Eligibility
    Regular
    Worker Eligibility
    Benefits: Employee Cost (pre-tax) Exists and <> 0
    Calculation
    Benefits: Employee Cost (Pre-tax)
    Calculation Proration
    Prorate Using Calendar Days
  4. Enter these settings on the
    Non-Effective Dated
    tab:
    Option Description
    Groups
    Benefits During Leave
    Federal Taxable Reduction [USA]
    FICA Taxable Reduction [USA]
    Pre Tax Deductions
    Section 125 Cafeteria Plan [USA]
    State Withholding Taxable Reduction [USA]
    Benefit Plans
    Select the PPO benefit plan.
Define a deduction for employer nontaxable PPO contributions.