Creating Coverage Formulas

Purpose:  Use this document to create coverage formulas for Benefits within the ctcLink system.

Audience: Benefits Administrators.

The Coverage Formula Table supports credits as a percent of salary: 

  • If you specify a Coverage Maximum, the system will limit the employee's salary to that maximum before calculating credits. If you do not specify a Coverage Maximum, the system will not limit the employee's salary.
  • If rounding is specified, the system will use it to round the salary before calculating credits.

You must have at least one of these local college managed security roles:

  • ZD Benefits Config Inquiry

If you need assistance with the above security roles, please contact your local college supervisor or IT Admin to request role access.

Navigation:  Set Up HCM > Product Related > Base Benefits > Rates and Rules > Coverage Formula Table

  1. The Coverage Formula Table search page displays.
  2. Select the Add a New Value tab.
  3. Enter valid value into the Coverage Formula ID field.
  4. Select Add.

If you select plan level coverage, use the Coverage Formula Table to define how coverage should be calculated. Coverage formulas are used by both life and disability insurance plans.

You can select from existing formulas to calculate life insurance coverage or create your own coverage calculation formulas, both from the Coverage Formula Table page.

  1. The Coverage Formula Table page displays.  Enter valid value into the Description field and into the Short Description field.
  2. In the Benefit Base section, select the employee's salary from the drop-down menus, that the system will use for coverage and premium calculation. Values for both Coverage Base as of and Premium Base As Of are:
    • Check Date
    • Last Year On
    • Pay End Date
    • This Year On

  3. The system uses the regular compensation base entered on the Job Data - Compensation page in Workforce Administration for the Annual Rate. Alternatively, you can enter a rate from the drop-down menu in the Source section. The system uses the rates defined in the Annl Benf Base Rt Type Tbl page.
  4. In the Formula section, select Constant from the Entry Type drop-down menu.
  5. Enter valid value into the Numeric Value field.
  6. In the Age Coverage Reduction section, enter valid value into the Age field.
  7. Enter valid value into the Percent field. Next, select the Add a New Row button.
  8. Enter valid value into the Age field.
  9. Enter valid value into the Percent field.
  10. Select the Add a New Row button.
  11. Enter valid value into the Age field.
  12. Enter valid value into the Percent field.
  13. Select the Save button.

End of procedure.

0 Comments

Add your comment

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.