The Person Benefit Payment Administration screen displays benefit payment information used primarily for the payment administration of pension benefits.
Withholding Overrides (per Benefit Distribution): area to specify amounts withheld with each payment for Federal, State, and Local withholding. For state and local withholding, the state and local Code should also be entered. Note that these amounts should be considered to be overrides and if they are not entered here, then withholding will be calculated based upon the participant withholding elections.
Payment Frequency: dropdown box to specify how often that payments are to be made (monthly for example).
Distribution Code for 1099R: dropdown box to specify what type of distribution this is for IRS Form 1099R reporting purposes.
Non-taxable Period (months): define the number of months that are defined as being non-taxable.
Use PensionSoft Benefit Payment Service Processing (BPSP) for benefit payment: enables payment processing capabilities through PensionSoft and a selected Payment Service Provider. Contact PensionSoft for more information on available license permissions.
Payment Distribution: enter details regarding the method of distributing payments in this section.
Method of Payment: space to indicate who should receive the check or Electronic Fund Transfer (EFT).
First Payment Uses Alternate Method: checkbox and space to indicate whether the first payment should use an alternate method of payment.
Check Sent/Client Reference#/ID: space to record check number for up to 3 checks (rarely used and usually only for lump sum processing).
Amounts Paid to Alternate Depository Institutions (per Benefit Distribution): when a Person has additional Depository Institutions set up, use this area to indicate the dollar amount to be sent to that institution. All remaining amounts will then be sent to the default Depository Institution. Open an allocation in this list to edit the settings described below.
Allocation
The Allocation popup specifies how much of each benefit distribution is allocated to the selected institution or payee. The title identifies the institution/payee and its ID.
Dollar Amount: Specifies the amount allocated to this institution or payee for each benefit distribution.
Process as vendor payment if Sponsor Payee. Otherwise, do not pay amount: Select this option to process the allocation as a vendor payment when the selected recipient is a Sponsor Payee. If the recipient is not a Sponsor Payee, the allocated amount is not paid when this option is selected.
Withhold all taxes from this amount: Takes all tax withholding for the benefit distribution from this allocated amount.
