Configuring and Using Pension Plans

To configure a pension, perform the following steps:

1. Use the Action Search and search for Benefits Admin Overview.

2. Select Create New → Benefit.

3. In the Step 1: Specify Benefit Type section for the Benefit Type field, select Pension/Retirement Savings Plan.

   

4. In the section Step 2: General Information, enter the general data for the pension, including the following fields:

   

   • Benefit ID: The benefits object ID field must be populated when a benefit object is created. The object ID cannot contain any special characters, and it is recommended that only upper case letters are used.

   • Benefit Name: Specify the benefit name that you want to create.

   • Effective From: Select the date from when the benefit is effective in the organization. Based on this date, all employees for whom the benefit is applicable see it on their Employee Overview page.

   • Benefit Program: Select the relevant benefit program.

   • Status: Select the relevant status for the benefit, either Active or Inactive.

   • Benefit Short Description: Specify the short description for the benefit.

   • Currency

   • Under the Payroll Integration section, enter the following details:

     • Integration Mode: Select Pay Components if you want the system to replicate the payment information to either compensation portlet or deduction portlet. Select Benefit Objects to integrate directly using enrollment, reimbursement, or configuration objects.

     • Deduction Start Date: Select the required value from the following options.

       • As of Enrollment Effective Date: Here, the system creates both the enrollment and deduction entries effective from the date the employee enrolls into the benefit.

       • Next Pay Period Based on Pay Check Issue Date: Here, the system creates deduction entries based on the pay check issue date. If the enrollment effective date is on or after the pay change issues date, the deduction date will be the start date of the next pay period. If the enrollment effective date is before the pay change issue date, the deduction date is the enrollment effective date.

         Note

         If you choose the next pay period, ensure that you define the pay calendar.

       • Always Next Pay Period: The system creates the deduction entries effective from the start date of the next pay period. The pay check issue date is not considered.

5. In Step 3: Associate Legal Entities specify the name of the legal entity/company for which you want this benefit to be active, in the field Legal Entity.

   

6. In Step 4: Specify Enrollment and Claim Dates, specify:

   

   • Benefit Schedule: Select the schedule. Based on the period that you maintain in the schedule, the system determines the validity of enrollment and claim. If you want to create a benefit schedule, select Add (+). The Benefit Schedules pop-up screen appears. Enter the following data:

     

     • Schedule ID.

     • Schedule Name: Specify the name of the schedule for a particular benefit.

     • Schedule Periods: Select the schedule period or create a new period. To create a new period, select Add. The Benefit Schedule Period screen appears. Enter the following data:

       • Period ID.

       • Period Name.

       • Enrollment Opens: Enter the start date for enrolling in a benefit. The employee can enroll for a particular benefit from this date.

       • Enrollment Closes: Enter the end date for enrolling in a benefit. The employee can enroll for a particular benefit until this date.

       • Enrollment Effective From: Enter the date from which the enrollment is valid.

       • Enrollment Valid Until: Enter the date until which the enrollment is valid. After this date, the employee must renew the enrollment to continue being eligible for a benefit.

       • Claim Starts: Enter the Start date for claiming a benefit.

       • Claim Ends: Enter the end date for claiming a benefit. Until this date, the employee can claim for a particular benefit.

       • Balance Carry Forward Up to Date: Enter the date up to which an employee can carry forward any unclaimed balances.

         

   • Frequency: Specify the frequency of occurrence of the benefit.

7. In Step 5: Define Enrollment Details, specify the following:

   

   • Enrollment Required: Select Yes or No.

     If you select Yes, it means that an employee must enroll to avail themselves of the benefit.

     If you select No, the employee is not required to enroll in a benefit to avail themselves of the benefit. If the employee is eligible, they automatically see the benefit in the Employee Overview page.

   • Effective From Rule: select an existing rule or create a new rule. A rule scenario, Configure Benefits Enrollment Effective From Rule for a Benefit, can be used to create rules for selection in this field.

     Days Remaining to Enroll: Specify whether or not to show or hide the number of days remaining to enroll in a benefit.

   • In the Enrollment Type and Workflow section, information such as:

     • Enrollment Type: Select either Automatic or Manual. This field is displayed on the screen only if you select Yes in Enrollment Required field.

       If you select Manual, the employee must go to the Enrollment Page and enroll for a benefit.

       If you select Automatic in the Enrollment Type field, you must create a job for auto enrollment of benefit.

     • Enrollment Workflow: Associate the workflow that the system must trigger when an employee enrolls for a benefit.

     • E-mail Notification for Enrollment: Select Yes if you want an employee to receive an e-mail notification once an employee enrolls for a benefit and the enrollment is approved.

   • The Settings for Employee Edit and Opt-out of Enrollments section contains the following:

     • Enrollment Edit Allowed: Select either Yes or No.

       • In case you select Yes, the system displays the Allow Edit of Enrollment field. Select one of the following values:

         • Only during Open Enrollment Period

           If you choose Yes, then the employees can edit their enrollment details only when the enrollment window is open.

         • Only while Enrollment is Active

           If you choose Yes, employees can edit their enrollment details during benefit validity period and enrollment window is open.

         • Throughout Open and Active Enrollment

           If you choose Yes, employees can edit their enrollment details anytime during the benefit validity period, enrollment period, and including the gap period between enrollment period and validity period.

           To edit the enrollment details, an edit link appears against each relevant benefit. Employees can use this link to edit the enrollment of the particular benefit in Employee Overview page.

       • In case you select Yes, the system displays the Allow Opt Out of Enrollment and Opt-out Workflow fields.

         Allow Opt Out of Enrollment

         If you choose Yes, Read-only Effective Date, then the employee can opt out of manually or automatically enrolled benefits during the active enrollment period due to a life event with a benefit exception which allows edit and opt out, and the effective date appears as read-only.

         If you choose Yes, Editable Effective Date, then the employee can opt out of manually or automatically enrolled benefits during the active enrollment period due to a life event with a benefit exception which allows edit and opt out , and the effective date appears editable and can be set in the past, or in the future other than the enrollment date. Even if an employee chooses to opt out they can also re-enroll as per their eligibility and as per the enrollment schedule.

         Opt-out Workflow

       • If you choose No, employees are not allowed to change the enrollment details.

     • Allow Automatic Updates of Enrollment. This field is displayed when the Enrollment Type is set to Automatic.

       If you select Yes in this field, the system allows the job to edit the enrollment details.

       Note

       In the current release, the automatic edit of enrollment is possible only for Pensions.

   • In the Associate Any Additional Enrollment Fields And Config UI Screen Specific to this Benefit (Optional) section, information such as:

     • Enrollment Screen ID.

     • Additional Enrollment Fields: Select the relevant enrollment object.

       You use this field when you want the employee(s) to enter more details while enrolling. For example, for company car benefit enrollment you may want to capture information like route number, home address, emergency contact number and so on. They are not standard fields. You can add these fields to the claim object and then associate them here.

     • Carry Forward Enrollment: Select either Yes or No.

       If you select Yes, you can carry forward the enrollment from the previous periods to the subsequent schedule period.

8. In Step 6: Add Useful Contacts, enter the details of the contact person for the relevant benefit in the Contacts field. You can see this data on the Enrollment and Claim screen.

   

9. In Step 7: Add Hyperlinks, Policy Documents, and Forms, you can specify the related benefit documents using the following fields.

   

   Under the Hyperlinks section, enter the following:

   • URL: Enter the target URL.

   • Label: Enter the label for the hyperlink.

   • Policy Documents: Enter the policy description and attach the relevant policy document.

   • Forms: Attach the relevant form which the employee has to fill in.

   • Useful Links: Enter the related web links, if any.

   Note

   To upload, you must save the documents. You can see this data on the Enrollment and Claim screen.

10. In Step 8: Specify Plan Details, specify the following:

    

    • In the Plan Type Details section, enter the following:

      • Country: Select the relevant country for which you want to create a pension plan.

      • Pension Funds: Select Single or Multiple. If you choose Multiple, the employee can distribute their contributions to more than one fund.

      • Retirement Plan Type: Select a plan type of Employer, State, Savings Plan, or Workplace.

        If you select state pensions, select the Statutory Lookup.

      • Retirement Age: Enter the retirement age only if the Retirement Age Type is Fixed. If the retirement age is Conditional, that is, in case the retirement age is different for different employees, do not enter the retirement age.

    • In the Pension Fund Details section, specify the following:

      • Is Default: Yes or No.

      • Fund Name: Enter the fund name.

      • Employee Contribution Pay Component: Select the relevant pay component.

      • Employer Contribution Pay Component: Select the relevant pay component.

      • Fund Agency ID: Enter the agency ID corresponding the fund that you have entered.

      • Fund Agency Link.

    • • Under Employer Contribution Detail, specify the following:

        • Employer Contribution Type: Select either Percentage or Amount. Based on this contribution type, the system displays either Contribution Percentage fields or Contribution Amount.

          Contribution Amount or Contribution Percentage: Enter the amount/percentage that the employer must contribute in the corresponding pension fund. Contribution amount/percentage is fixed for all the employees for a particular pension type. The amount/percentage that you enter here is displayed for all the employees in Employer Defined Contribution Amount/Employer Defined Contribution Percentage field on enrollment screen.

        • Contribution Rule: Select the relevant rule. This rule determines the employer contribution percentage or amount for a particular employee. This rule looks up a custom object which has the criteria specific to that country/legal entity and the employee.

        • Employee Can Edit Employer Contribution: Choose either Yes or No.

          If you chooseYes, the employee can edit the employer's contribution percentage or amount, at the time of enrollment.

          If you choose No, the system displays the defaulted contribution amount or percentage split that you entered during benefit creation.

      • Under Employee Contribution Detail, specify the following:

        • Employee Contribution Type: Select either Percentage or Amount. Based on this contribution type, the system displays either Contribution Percentage fields or Contribution Amount.

          Contribution Amount or Contribution Percentage: Enter the amount/percentage that the employer must contribute in the corresponding pension fund. The amount/percentage that you enter here is displayed for all the employees in Employee Defined Contribution Amount/Employee Defined Contribution Percentage field on enrollment screen.

        • Contribution Rule: Select the relevant rule. This rule determines the employee’s contribution percentage or amount for a particular employee. This rule looks up a custom object which has the criteria specific to that country/legal entity and the employee.

        • Employee Can Edit Employee Contribution: Choose either Yes or No.

          If you chooseYes, the employee can edit the contribution percentage or amount, at the time of enrollment.

          If you chooseNo, the system displays the defaulted contribution amount or percentage split that you entered during benefit creation.

    • Under the section Define the Additional Help Text to Display on the Enrollment Screen,

      The Additional Help Text section allows an administrator to add help text about the savings plan selected by the employee in the Select Benefits view. Up to three fields can be added by an administrator that include a title and a description of the help text. This information appears for the employee during the benefits enrollment process.

      

    • The Additional Help Text section allows an administrator to add help text about the savings plan selected by the employee in the Select Benefits view. Up to three fields can be added by an administrator that include a title and a description of the help text.

      This information appears for the employee during the benefits enrollment process.

      

    Note

    Points to remember while creating Pensions:

    • The pay component currency and the Benefit currency entered while creating the benefit must be the same.

    • All legal entities must belong to the same country specified in the benefit pension object.

    • Employer defined Contribution Amount or Contribution Percentage must not be less than the value of Statutory Minimum Amount or Percentage, that you enter for an employee.

    • Employee definedContribution Amount or Contribution Percentage must not be less than the value of Statutory Minimum Amount or Percentage, that you enter for an employee.

You are setting up a pension plan for ACE USA employees. In this pension plan, the company contributes USD100 per month for each employee, and the employee contributes USD120. The payment is made to the pension plan.

1. Create a new benefit period and benefit schedule with the below details:

   Schedule ID	2025PENSION
   Schedule Name	2025 Pension Plan Schedule
   Schedule Period	Period ID: 2025PENSION Period Name: 2025 Pension Plan Schedule Period Enrollment Opens: 01/01/2025 Enrollment Closes: 12/01/2025 Enrollment Effective From: 01/01/2025 Enrollment Effective Until: 12/31/2025

   1. Use the Action Search to open Benefits Admin Overview.

   2. Select Create New → Benefit Schedules.

   3. Enter the given Schedule ID and Schedule Name.

   4. In the Schedule Period field, select +.

   5. Enter the details given in the table for the Schedule Period .

   6. Select Save and close the Benefit Schedule Period window.

   7. Select Save.

2. Create a pay component for the pension plan benefit with the following details:

   Field	Value
   Effective as of	01/01/2025
   Pay Component ID	PensionPlan
   Name	Pension Plan
   Status	Active
   Pay Component Type	Amount
   Is Earning	Yes
   Currency	USD
   Frequency	Monthly (pay frequency of employee)
   Recurring	Yes
   Can Override	Yes

   1. Use the Action Search to open Manage Organization, Pay, and Job Structures.

   2. Select Create New → Pay Component.

   3. Enter the data from the table.

3. Create a new pension plan called ACE Pension Plan with the following details:

   Field	Value
   Benefit Type	Pension/Saving/Retirement Plan
   Benefit ID	PENSION
   Benefit Name	ACE Pension Plan
   Effective From	01/01/2025
   Status	Active
   Benefit Short Description	ACE Pension Plan
   Currency	USD
   Integration Mode	Benefit Objects
   Legal Entity	Ace USA
   Benefit Schedule	2025 Pension Plan Schedule Period
   Frequency	Monthly
   Enrollment Required	Yes
   Enrollment Type	Manual
   Country	United States
   Pension Funds	Single
   Retirement Plan Type	Employer
   Fund Name	Company Pension Plan
   Payment Mode	Pension Plan
   Employer Contribution Type	Amount
   Contribution Amount	100
   Employee Contribution Type	Amount
   Contribution Amount	120

   1. Use the Action Search and navigate to Benefits Admin Overview.

   2. Select Create New → Benefit.

   3. Enter the data from the table.

   4. Select Save.

4. The confirmed Pension benefit appears in the Open Enrollment tab.

   1. From the Admin Center menu, select Home.

   2. Select View My Profile.

   3. Select the Benefits tab.

   4. Select Enrollments.

   5. Verify that the ACE Pension benefit appears under Other Available Benefits.