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Pension Payment System


SSI's Pension Payment System (PPS) in combination with the Pension Calculation System (PCS), with which it is tightly integrated, are capable of handling all aspects of the administration of a Defined Benefit Pension Fund. Basic participant demographic data is stored in the Participant Database eliminating any redundant data. PPS prints and sorts monthly pension checks, and handles Electronic Funds Transfer (EFT) for pensioners that select that option. PPS is integrated with the Bank Reconciliation system and the Positive Pay Process. The system generates multiple reports that satisfy ERISA regulations, creates annual actuarial valuation data and 1099R tax forms. If the client has an integrated imaging system, there will be easy links throughout the system to retrieve relevant documents, e.g., if a QDRO is in effect one would be able to link to see the actual court order.

The PPS:

  • Generates and tracks all pension-related letters, with an automatic follow-up capability
  • Unlimited free-form notes pertaining to pensioners
  • Withholds taxes based on tax tables, or specific dollar amount or percentage

PENSIONER DATABASE:
  • Type of pension, such as normal, early, or disability
  • Pension option, such as 60 or 120 month certain, joint and survivor with whichever percentages, including 75%
  • Application Date, Award Date and Retirement Date
  • First and Last Dates of Payment
  • All payment components such as Monthly Amount, Popup, Withholdings and other deductions, for regular, retro, and bonus checks
  • Recaptures of overpayments can be automated
  • Check destination may be address, bank address, or EFT bank account and routing codes.
  • If EFT is used, bank pre-notification is initiated and confirmed.

BENEFICIARY/ALTERNATE PAYEE:
  • Tracks data for beneficiaries and/or alternate payees
  • Name and address, social security number, sex and date of birth are stored in the participant database
  • QDRO data stored from time of receipt
  • All payee’s are shown and accessed via tabs within the original pensioner’s record

PAYMENT PROCESSING:
  • Pensioner records scanned in order to extract and verify currently eligible payments, either checks or EFT
  • Records selected based on request for regular, retro, bonus or 13th checks
  • Multiple sort options, for example, the separation of foreign checks from others
  • Reconciliation function focuses on any month to month differences in payments, including new pensioners, deceased pensioners or any payment amount change
  • Summary and detailed check registers, including a separate withholding report and a deduction register for any non-tax deductions
  • Creates electronic ACH file to send to the bank for EFT payments
  • Positive Pay reporting to the bank to protect the Fund from fraud.
  • Complete payment history is available showing all checks and their components, clear or void data, and destination of each check

MANUAL CHECK WRITING AND VOIDING:
  • Individual checks can be voided or shown as stopped payments
  • Voided/Stopped checks may be scheduled for reissue for same amount
  • Stale checks may be voided in batch
  • Reasons for voids/stopped payments may be entered

1099R's:
  • Data for 1099R’s extracted on demand or at year’s end
  • 1099 data may be manually modified prior to printing forms
  • 1099 Forms may be printed or reprinted as needed
  • SSI is an authorized combined filer for the IRS and will forward your extracted data in a timely fashion
  • SSI has also submitted electronic files to New York State

AGE 70 1/2 REPORT:

This report gathers all vested non-pensioners, currently working, who will be turning 70 1/2 or older within a user defined reference year. A letter or mailing labels can be generated to notify members alerting them to the requirement of applying for a pension. A record of the letter can be stored in the letter history file linked to the member.

PENSION INCREASE (OR DECREASE):

This function increases (or decreases) pension payment amounts for all or a selected group of pensioners or beneficiaries. Pensions may be changed by a percentage, a fixed dollar amount, or brought up to a minimum amount. Retroactive increases can be calculated as well.

DEATH AUDITS:

The system will create a file of all active pensioners and beneficiaries to be sent to PBI. The PBI service will create a file containing Dates of Death for individuals that meet its matching criteria and have been reported as deceased in PBI’s data sources. PPS will process this data and update the pensioner’s or beneficiary’s record with a date of death. However, the system sets a special status code that holds payments pending the Fund’s verification of this information, but allows the individual to be easily revived and restored to active status if it was reported in error.