ProVal Tip: Use Contribution Policy Data To Define Contribution As Rate Per Hour Or Percent Of Salary!
Did you know…
You can set up Contribution Policy Data in your Plan Definition to define your employer contribution by individual using accrual basis components – similar to how employee contributions are defined.
Contribution Policy Data is a valuation output variable and may also be referenced as a contribution policy in your Asset and Funding Policy. This may be useful for public plans or multiemployer plans with predefined employer contribution rates based on salary or hours worked.
You will find Contribution Policy Data in your Plan Definition topics listed on the left hand side.
In your Asset and Funding Policy, under the Contribution Policy topic, select Defined by Participant in Plan Defn.
Click the Add’l Params… button to define your contribution policy as a multiple of Contribution Policy Data. Multiply by a constant rate or vary the multiplicative factor by years in a forecast.
