J.D. Edwards EnterpriseOne Benefits Administration Terms and Concepts

This table describes the terms and concepts related to benefit program administration:

Term or Concept	Description
Allocation	The distribution of funds to various investment options. For example, you might allocate half of the money that you are investing to one fund and the other half to another fund.
Beneficiary	The individual who receives the benefit from an insurance or investment plan in the event of the plan holder's death. For example, you might designate the spouse as the beneficiary of the life insurance plan.
Benefit group	A group of employees that is offered the same set of benefit plans. For example, you might create separate benefit groups for salaried employees, hourly employees, and executives.
Benefit category	A broad description of related benefit plans. For example, a benefit category might be medical, dental, or retirement.
Benefit plan	A detailed program that provides a benefit for an employee. For example, a benefit plan can be traditional medical, medical health maintenance organization, vision, dental, and so forth.
Dependent	An individual, such as a spouse or a child, whom an employee supports financially. Dependents are often entitled to share in an employee's benefit plans, such as medical insurance.
Deductions, benefits, and accruals (DBAs)	A deduction is a monetary amount taken out of an employee's pay. For example, a deduction can contribute toward a benefit, such as life insurance or medical coverage. A benefit is a payment or service that an employee receives for working for the employer. In this case, benefit refers specifically to the employer contribution. An accrual is typically sick time, vacation time, or holiday time that can be accumulated by the employee and used at a later date.
Flexible benefit plan	Also called a flex plan, a program that enables employees to select the benefits that meet their individual needs. Employers provide employees with flex credits with which to purchase the benefit plans that they want. Employers can provide flex credits in a lump sum that is based on factors such as length of service or in a lump sum that is the same for all employees. Flex credits can also be awarded upon selection of specified benefit plans.
Plan option	A choice within a benefit plan that further defines the plan. For example, a medical plan might offer options for employee, employee plus one, and employee plus family.