Advanced inputs control age measurement, payment timing, beneficiary assumptions, mortality handling, and COLA within the underlying payment stream.

• Age and payment inputs:
  • Calculation method to determine ages: Defines how elapsed time from birth date to measurement date becomes attained age.
  • Rounding of birth dates: Adjusts participant and beneficiary birth dates before age is measured.
  • Age Rounding - Type / Unit / Alternate Unit: Rounds measured ages before factors are developed.
  • Repeating decimal digit rounding: Limits repeating-decimal precision in the age result.
  • Noninteger Age Method: Uses linear or geometric interpolation between bracketing integer-age factors. N/A applies when ages are rounded to integers.
  • Payment Timing: Values payments at the beginning or end of each payment period.
  • Payment Frequency: Number of payments per year in the underlying stream. Available frequencies include Weekly, Monthly, Quarterly, Semi-annual, and Annual.
  • Determine factor results as monthly amounts: Reports the factor for a monthly benefit rather than an annual benefit. The monthly factor equals the annual factor multiplied by 12.

• Actuarial equivalence and mortality:
  • Actuarial equivalence is as of: Date used to select time-sensitive interest and mortality assumptions. The date can be the Factor Measurement Date, Termination Date (if any), Calculation Date, Annuity Commencement Date, or a Formula Derived Item.
  • Formula Derived Item: Provides the actuarial-equivalence date when Formula Derived Item is selected.
  • Duration for segment rates and yield curve begins on this date: Measures interest-rate duration from the actuarial-equivalence date rather than the factor measurement date.
  • Mortality Distribution Method: Controls within-year mortality and nonannual payment treatment, including Woolhouse, uniform-distribution, and interpolated-mortality methods. Woolhouse Approximation converts annual annuities to nonannual payments; Uniform Distribution assumes deaths occur uniformly within the year. Interpolated Mortality Rates also interpolates rates between the current and next age and applies survival discounting to both lives during deferral.
  • Fixed beneficiary age difference: Derives assumed beneficiary age from participant age using separate male- and female-participant differences. Enter separate differences for male and female participants. A positive number assumes an older beneficiary; a negative number assumes a younger beneficiary.
  • Use actual beneficiary age if data exists: Uses the age assumption only when actual beneficiary age is unavailable.
  • Reduce beneficiary values during deferral: Applies participant survival during the payment deferral period to beneficiary-contingent values.

• Cost of living adjustment:
  • Increase Rate - Fixed / Variable: Annual benefit increase entered directly or produced by a Formula Derived Item. Enter rates as decimals: 0.02 means a 2% annual increase; 0 means no increase.
  • Maximum Benefit Ratio - Fixed / Variable: Maximum increased benefit expressed as a multiple of the initial benefit, entered directly or produced by a Formula Derived Item. For example, 1.5 caps the increased benefit at 150% of its initial amount.
  • COLA Deferral Period - Fixed / Variable: Number of years before increases begin, entered directly or produced by a Formula Derived Item.
  • Age COLA Starts: Selects whether the deferral is measured from payment age or current age; increases begin after the resulting COLA start age.
  • COLA Frequency: Interval at which increases are applied.
  • COLA Type: Compound applies each increase to the prior increased benefit; Simple applies each increase to the initial benefit.