Full TPA Service Scenario 

Purpose

This process describes the steps involved in administering retirement plans if the third party administrator calculates both length of service and projected benefits.

Prerequisites

Employees have enrolled in retirement plans.

Process Flow

  1. Once an employee has enrolled in a retirement plan, contributions (if defined for a plan) are cumulated in payroll, in addition to hours and earnings.
  2. When payroll data is required for data transfer to the TPA and you are certain that it is not subject to retrocalculation, you extract it to the Retirement Plan Cumulations infotype (0602).
  3. When data is required by the TPA for the calculation of projected retirement benefits and service, you generate two IDocs; one containing plan participation data and the other containing data required for calculating service and projected benefits. You make these IDocs available to the TPA.
  4. You must ensure that the IDocs contain data for an identical period in time and generate them in close succession to avoid discrepancies due to changes in data.

  5. When the TPA returns the results of benefit and service calculation, you trigger inbound IDoc processing in order to transfer data to your SAP System.

Flow of Data in a Full Service Scenario

Result

Projected retirement benefits and service data are stored in your system. If you want to enable employees to display their most recently calculated service and benefits, you can implement the Employee Self-Service Retirement Benefits.