Methods of Calculation

The Method of Calculation field is defined on the DBA setup form. The method of calculation tells the system how to calculate the amount or rate of the DBA. All DBAs use methods of calculation. Simple DBAs calculate amounts or rates using flat dollar or percentage calculation methods, while more complex DBAs are based on tables that contain variable information. These DBAs are table method DBAs. The method of calculation indicates what the ranges in the calculation table represent, such as age ranges or salary ranges. For example, to base a DBA on employee age, use method of calculation 3 or 9. The methods of calculation are attached to these numeric codes defined in UDC 07/DM:

• 0: Withholding periods

• 1: Salary range

• 2: Date range

• 3: Age range (calculated by date of birth or spouse date of birth)

• 4: Hours worked

• 5: Pieces produced

• 6: Variable months

• 7: Workers compensation insurance

• 8: Gross pay

• 9: Age (calculated depending on the date that you enter in the Employee Age field or Spouse Age field on the Personal form)

• M: Retirement Employer Match