The Average Earnings Provision - Advanced Screen is used to define advanced parameters for an Average Earnings Provision.

• 401(a)(17) Limits
  
  
  • Application of Limits under EGTRA: allows users to indicate whether new or old compensation limits should be applied prior to 2002. The default is to apply the limits retroactively.
  • Determine highest averaging periods using unlimited amounts: uses the actual unlimited earnings amounts to determine which are the highest pay periods to be used in the average.
  • Use pre-OBRA 93 governmental plan limits: uses governmental plan limits defined prior to the reductions specified in OBRA 93.
• Final Termination Date: this area (rarely used) allows users to adjust the averaging period end date by some Formula Derived Item or Unit of Time.
• Build periods starting on provision Effective Date day of the week (weekly/bi-weekly periods): by default, weekly and bi-weekly periods are built on a Sunday to Saturday basis. Check this box to instead create these periods based on the day of the week of the date that was been entered as the Provision Effective Date. For example, if the Provision Effective Date is 1/1/2024, DB Precision will determine that this date was a Monday, and will build weekly or bi-weekly periods on a Monday to Sunday basis.
• Allow single-day periods: DB Precision by default will not create an earnings period that starts and ends on the same day. Check this box to allow such periods to be created and used in the Average Earnings calculation.