Fund Groups
You use the Group Fund Setup program (P07850) to create fund groups. Fund groups enable you to specify the funds in which a group of employees is required to, or likely to enroll. The system uses fund groups to determine which funds to display for each employee during fund enrollment. After you set up fund groups, you can enroll employees in the funds. When you enroll employees, the system prepopulates the Employee Fund Allocation Revisions form with all of the funds in which the employee is required to, or likely to enroll.
For example, if the organization makes superannuation contributions only to fund 25 for all employees in union 1000, you can set up a fund group for fund 25 specifying that the fund is required for all employees in union 1000. When you enroll an employee from union 1000 in superannuation funds, the system prepopulates the Employee Fund Allocation Revisions form with fund 25, and also prepopulates the Allocation Percentage field with 100. To enroll the employee in the fund, you simply select the fund and click Submit.
Similarly, you can use fund groups to display lists of funds in which groups of employees are likely to enroll. For example, if the majority of employees typically enroll in funds 1, 2, or 3, or a combination of these three funds, you can set up a fund group for each of these funds and specify that the fund group is for all employees. When you enroll any employee in superannuation funds, the system prepopulates the Employee Fund Allocation Revisions form with funds 1, 2, and 3, but does not populate the Allocation Percentage field. You can then select the funds in which the employee wants to enroll, enter an allocation percentage for each fund, and click Submit to enroll the employee.
When you set up fund groups, you must specify the fund type. Fund types are specified in UDC (07/FA) and include:
Type 1: Employer Benefit
Type 2: Employee Deduction
You can set up multiple fund groups for the same fund. For example, if the organization makes employer-paid superannuation contributions only to fund 200, you can set up a fund group for fund 200, specify the fund type as 1, and specify that the fund is required for all employees. You might also allow all employees to make their own contributions to fund 200. Therefore, you can set up another fund group for fund 200, specify the fund type as 2, and specify that the fund is available (not required) for all employees. When you enroll an employee in superannuation funds, the system displays two records for fund 200 on the Employee Fund Allocation Revisions form. The first is for fund type 1, and is required. The second is for fund type 2, and is not required.
You can set up fund groups for all employees in the organization, or you can set up fund groups for specific employee groups according to:
Home business unit
Job type
Job step
Union
Any combination of these.
For example, the organization might make employer-paid contributions only to fund 25 for employees in union 1000, but contribute to fund 200 for all other employees. You can set up these fund groups for this scenario:
Fund Group A includes this information:
Fund type: 1
Fund ID: 25
Union: 1000
Required Fund: Yes
Fund Group B includes this information:
Fund type: 1
Fund ID: 200
Fund for All Employees: Yes
Required Fund: Yes
In this example, there are two type 1 funds set up as required for employees who work in union 1000. The system displays both funds for the employee. However, an employee can be actively enrolled in only one type 1 fund at a time. Therefore, you must determine the fund in which to enroll the employee. The system uses this hierarchy to determine which type 1 funds to display during enrollment:
The employee's home business unit, union code, job type, and job step match the fund group.
If a matching fund is found, the system displays the fund and continues to the next step to determine whether to display additional funds. However, if a match is found at a lower level for the same fund, the system does not display that fund again. The system displays each fund, at the most detailed level, only once for an employee during enrollment.
The employee's home business unit, union code, and job type match the fund group.
If a matching fund is found and the fund is not already being displayed for the employee, the system displays the fund and continues to the next step.
The employee's home business unit and union code match the fund group.
If a matching fund is found and the fund is not already being displayed for the employee, the system displays the fund and continues to the next step.
The employee's union code matches the fund group.
If a matching fund is found and the fund is not already being displayed for the employee, the system displays the fund and continues to the next step.
The employee's home business unit matches the fund group.
If a matching fund is found and the fund is not already being displayed for the employee, the system displays the fund and continues to the next step.
The fund group is set for all employees.
If a matching fund is found and the fund is not already being displayed for the employee, the system displays the fund and stops searching. If no fund is found, the system does not display a fund during enrollment.
It is not necessary to create fund groups to enroll employees in funds. You use fund groups to facilitate the fund enrollment process. You can enroll employees in any fund that is set up in the system, regardless of whether the fund is included in a fund group. For example, if you enter fund 100 into the system but do not create a fund group for that fund, you can still enroll employees in the fund. However, you must manually add the fund to the Employee Fund Allocation Revisions form. The system does not prepopulate the form with this fund.
Additionally, you can enroll employees in funds that are included in fund groups that do not include the employee. For example, if you set up a fund group that requires employees in union 1000 to enroll in fund 25 for the employer-paid contribution, the system does not limit enrollment in that fund to employees from union 1000. You can enroll any employee in fund 25 by manually adding the fund to the employee's fund enrollments.