Average Earnings Definition Dropout/Adjustment Rules
This screen allows users to define conditions under which certain earnings periods should be ignored for purposes of determining average earnings.
Screen Items
  • Select the following that apply:
    • Exclude an earnings amount if there is $0 earnings during that period: check this box if earnings periods where there are no earnings should be ignored when determining average (checked by default).
    • Exclude an earnings amount if the sum of the following Reported Amounts during its period is less than some threshold: check this box if earnings periods should sometimes be excluded based upon the value of some other reported amounts (hours less than 1,000 for example).
      • Fixed Threshold: select this option and specify an amount if the same threshold applies to all periods.
      • History of Thresholds: check this box if there are different thresholds applicable to different periods/years.
      • Adjust Threshold amounts for partial periods: check this box if the threshold below which earnings periods are to be excluded is to be adjusted down for partial periods.
      • Include amounts below threshold if increases the average: check this box if amounts should be included even when below the given threshold if they will increase the overall average..
    • Adjust an earnings amount if the sum of the following Reported Amounts during a period is less than the following Adjustment Threshold (and greater than the above threshold): allows for earnings periods to be annualized if some other reported amount falls within some range (where the annualization is based upon that other reported amount).
      • Adjustment Determination - Adjustment Method: choose from the following methods. Note that the result of each will be the same unless you are applying rounding to the adjustment factor.
        • Multiply by adjustment: develops adjustment as the Numerator specified divided by the sum of all dropout amounts during a period. The period unit is then multipled by this amount.
        • Divide by adjustment: develops adjustment as the sum of all dropout amounts during a period divided by the Denominator specified. The period unit is then divided by this amount.
      • Adjustment Determination - Adjustment Threshold: fixed amount above which earnings period amounts are to be adjusted (up to the exclusion threshold defined above).
      • Adjustment Determination - Numerator/Denominator: when determining the adjustments amount, earnings amounts, the adjustment will equal the numerator (specified here) divided by the sum of the reported amounts for a period.
      • Rounding of Adjustment: when determining adjustment amount, this area allows for the adjustment amount to be rounded before being applied to an earnings period.
  • Reported Amounts: this area allows users to specify which reported amounts should be used when determining dropout and adjustment thresholds. Double-clicking an item will open the Average Earnings Dropout Reported Amount screen.
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