Understanding Benefit Formula Results

The benefit formula produces a dollar amount and a description of what that amount represents. The description consists of a payment frequency and normal (not default) forms of payment for single and married participants.

You use the result for reporting, primarily within the benefit statements you give your employees. You also reference the result when you use the optional forms of payment function to create the form set that goes with the benefit formula. Only forms in the optional form set are offered to employees. The normal form of the benefit, as defined in the benefit formula, is only offered if it is repeated in the optional forms of payment function.

Processing for the 415 limits function also looks at benefit results.