The Structure tab defines the current crediting rate, the crediting frequency, the crediting of periods less than one year, and rounding rules for the interest rate.

Annualized Plan Year Crediting Rate defines the current crediting rate:

• Constant credits interest based on the specified rate. Enter the constant rate as a decimal (e.g. 0.08 for 8.0%).

• Constant from database field credits interest based on a constant rate from a numeric field within the data. The numeric field may be either scalar or an array. If the field is an array field, the interest rate will change in accordance with changes in the field, based on the rate in effect at the beginning of the crediting period. However, the first rate specified will be used for all crediting dates prior to the effective date of that rate, subject to the subsequent application of any specifications on the Adjustments tab.

• Based on Interest Rate Table credits interest based on the interest rate as of each crediting period according to the selected Interest Rate Table. Only flat rate (not spot rate, duration or PBGC) type tables may be selected. If the interest rate varies during the crediting period, the rate at the beginning of the period is used. If different tables apply to different groups of records who can be identified by the values of a coded database field (e.g., Division), then you can specify <rates by coded database field>. Click the Parameters button to specify the coded field and select the Interest Rate Table to be used for each code. If the coded field is an array field, only the most recent value will be used to determine the applicable table.

The Crediting Frequency can be Annually, Semi-Annually, Quarterly, Monthly, Semi-monthly, Bi-weekly, Weekly or Daily and is set by selecting the appropriate frequency from the multi-choice field. When the crediting frequency is bi-weekly or weekly, the number of crediting periods in a plan year is variable (26 or 27 for bi-weekly crediting and 52 or 53 for weekly crediting) and crediting periods will cross Plan Years; these facts create issues for determining the appropriate crediting rate and compensation limit for accruals in the period. For weekly and bi-weekly crediting, ProAdmin uses the end of crediting period dates (i.e., the crediting date) to determine interest crediting rates. Additionally, the first end of crediting period date within a Plan Year is used to determine any applicable limits.

If the Or, if less, crediting period through completed box is checked, interest will be credited for any completed partial periods in any partial crediting period (e.g., the year of termination) based on the selection in the multi-choice field. The valid selections are semi-annual periods, quarters, months, semi-months or days, but always a more frequent period than the crediting frequency.

For crediting periods less than one year adjust crediting rate option defines how the annual crediting rate is adjusted for partial periods: either arithmetically or geometrically may be selected. This parameter is available when the crediting frequency is not annual or when the Or, if less, crediting period through completed option is applied. An example of the calculation: when arithmetically is selected for monthly partial periods, the annual rate is divided by 12 and then multiplied to the correct number of months in the crediting period. When geometrically is selected for monthly partial periods, the annual rate is raised to the power of the number of twelfths that is the crediting period.

Give arithmetic interest to current plan year accruals option becomes available when the crediting frequency is daily and the daily rate is determined arithmetically. Typically with daily crediting (i.e., when this parameter is not checked), the total balance including plan year accruals will be updated daily by multiplying the prior day’s balance by 1 plus the effective interest rate for the period. If this parameter is checked, however, current plan year accruals will receive interest on an arithmetic basis for the number of days they are in the plan during the plan year until the end of the plan year.

But use an arithmetic rate for current plan year accruals checkbox becomes available when there are crediting periods less than one year and the partial year crediting rate is determined geometrically, the. If this option is checked, an arithmetically-adjusted interest rate is used on any current plan year accruals while the beginning balance accrues on a geometric basis until the end of the plan year.

Apply crediting rate rounding rule checkbox allows you to round the crediting rates applicable for periods less than one year. The value entered for the Amount controls the rounding precision. For example, to round the rates to 4 decimal places enter 0.0001 into the Amount parameter. An Amount entered as 0.0025 indicates that rates should be rounded to 25 basis points. Direction indicates whether the rate should be Up, Down, or to the Nearest multiple of the Amount.