Last salary includes: identifies the salaries to include at decrement and beyond in the Salary Definition.  There are three general choices:  (1) include reported salaries but stop projected salaries at decrement, (2) include all reported and projected salaries, or (3) include only salaries through a defined "stop date."  

If you choose Reported salaries; projected salaries stop at decrement, all reported salaries are included, but projected salaries (during an Estimated Benefit Calculation) are only included through decrement. When you are using rates of pay (rather than reported pay with start/stop dates), ProAdmin assumes the last reported rate of pay stops at the later of decrement and the end of the measurement period containing the last reported rate of pay.

If you choose Reported and projected salaries for an Estimated Benefit Calculation (there are no projected salaries in a Final Benefit Calculation), salaries projected all the way to the last commencement date will be included. When you are using rates of pay (rather than reported pay with start/stop dates), ProAdmin assumes the last reported rate of pay doesn’t stop until the calculation dates stop (at least until the end of the plan year containing the last Benefit Commencement Date).

If you choose Salaries thru salary stop date, you define the "salary stop date" and ProAdmin ignores any salaries after that date.  The default salary stop date is Decrement, which ignores any salaries whose stop date is after decrement. Alternatively, you may choose to have the last salary include salaries thru a stop date of the Earlier of decrement and Eligibility Definition: or the Later of decrement and Eligibility Definition:.  Using either of these options allows finer control over exactly which salaries are included. Select an entry from the Eligibility Definition library, such as to specify, for example, "earlier of age 65 and decrement" or "3 months after decrement" or whatever suits the purpose.  Any service specified in the Eligibility Definition will be evaluated using Service Definition Set:, which selects an entry from the Service Definition Set library.  If desired, the salary stop date can be further refined (such as to the first of the month coincident with or following) by specifying a Stop date adjustment which selects an entry from the Date Adjustments library. In each case, the button to the right of the library multi-choice field accesses the library to create and modify library entries.

If the last salary includes salaries thru the earlier or later of decrement and meeting the criteria defined in a selected Eligibility Definition, checking the Adjust last salary box indicates that additional parameters are needed to define the last salary.  Click the Params... button to access these parameters:   

If the last salary is potentially something other than the last reported (or projected) salary, the Adjust last salary dialog box provides flexibility in defining the last salary. Note that the  measurement period text on this dialog is dynamic and will reflect the actual name of the measurement period selected on the primary Salary Definition dialog.

Last salary adjustment:  allows you to Use the greater of the current and the previous measurement period salary or  Prorate or  Gross-up the salary during the decrement measurement period.  If the last salary will be prorated, you have the option to Use salary from the preceding period as the basis for this proration.

If you have selected to either prorate or gross-up the salaries, you need to set additional Prorate/Gross-up in the partial measurement period  parameters. The Factor: section identifies the portion (completed,  nearest, or next highest) and partial periods (years , quarters, months ½ month weeks, or days –  equal to or more frequent than the measurement period specified for the salary definition)  to be reflected in the proration or gross-up of the last salary. Factor rounding selects an existing entry from the Service Rounding  library that will be applied to the factor prior to the proration or gross-up of the last salary. Salary rounding selects an existing entry from the  Service Rounding library that will be applied to the adjusted salary.  In each case, the  button to the right of the library multi-choice field accesses the library to create and modify library entries.

For example, suppose the measurement period is calendar year, the decrement date is 9/21/2015 and the last reported salary is $40000 for the period [1/1/2015, 9/21/2015], and you want to gross up this partial year salary into a full calendar year using nearest half-months. First, choose Gross-up as the Last salary adjustment. In the Prorate/Gross-up in the partial measurement period  section, for the  Factor: nearest  and 1/2 months. Since, 9/21/2015 rounded to the nearest half month is 9/15/2015, the grossed up salary is 40000 * (24 half months in [1/1/2015, 12/31/2015]) / (17 half months in [1/1/2015, 9/21/2015]), or 56470.588235 (only the first 6 decimals are shown here). You could have rounded the calculated factor before the salary is grossed up, e.g., round to the nearest 7 decimal places, so 24/17 = 1.4117647, and the annualized salary is now 56470.588. And then, e.g., truncate the final grossed up salary to 2 decimal places, or 56470.58.

If there are salaries reported after decrement, the Salaries reported after decrement are recognized at: parameter controls whether those salaries are recognized as reported or pushed into the decrement salary.  If you choose  Salary history stop date , ProAdmin recognizes all reported salaries as being earned on their stop dates, and by default, all salaries reported after decrement are ignored. (You can use the Last salary includes: parameter on the top of the dialog to change what salaries are ignored, but this parameter allows you to change when salaries after decrement are recognized/earned: on their stop dates or at decrement.)  When using  Generate measurement period salaries from less frequent salaries  on the main dialog, the relevant stop date is the date of the reallocated salaries, not the original stop date.

If you choose Decrement, including salaries thru the:, then salaries earned through the specified end of the period are assumed to be earned on the decrement date (and any compensation limits are applied as of the decrement date). If you choose Decrement, including salaries thru the: End of the decrement measurement period, any reported pays between decrement and the end of the measurement period containing decrement, are assumed to be earned on the decrement date. For example, if the measurement period is calendar year, decrement date is 7/31/2011, and salaries have been reported through 02/28/2012, any reported salaries with a stop date after the decrement date, and thru 12/31/2011, will be added to the salary at the decrement. All these salaries are considered to be earned on the decrement date.

If you choose Decrement, including salaries thru the: Adjusted salary stop date ProAdmin will recognize any salaries reported after the decrement date and through the adjusted salary stop date, as having been earned on the decrement date.  The adjusted salary stop date is the decrement date unless the salary stop date is defined as the Earlier or Later of decrement and Eligibility Definition on the top of the dialog, in which case the adjusted salary stop date is per the interaction of the decrement date with the specified Eligibility Definition, Service Definition Set and Stop date adjustment parameters.  For example, if the measurement period is calendar year, decrement date is 7/31/2011, adjusted stop date is 4/30/2012, and salaries have been reported through 2/28/2012, any reported salaries with a stop date after the decrement date and thru 3/30/2012, will be added to the salary at the decrement. All these salaries are considered to be earned on the decrement date.