Add New Payment Details (Annuity)

Payment Type

The type of payment.

Select the appropriate type from the drop-down box.

Note:

The payment type selected will determine which fields appear on this screen.

For more detailed information refer to

Supplements

Annuity Payment Type Definitions and Uses

Payee Name

The name of the payee.

Click LIST to display the JU1DV Search Criteria screen. 

Tick the appropriate box to select Link to an Organisation or Link to a Person.  Click OK.  The system will flow to the JU1DV Client Relationship Select screen, to select a client as a payee. 

Refer to Maintain payment details below.

Total Pension

The total amount of pension.

Commuted Pension

The amount of pension that has been converted to a cash value.

Original Amount

The original cost of the pension.

Commutation Amount

The commutation amount.

Start Date

The date the annuity first becomes payable.

Mandatory

For details of scenarios where the Start Date field (payment start date), has an influence in determining the tax period, therefore affecting the way in which tax is calculated, refer to

Supplements

Use of Payment Start Date for Annuity Tax Calculation

Date of Retirement

The date the member retired.

Benefit Type

Click LIST to flow to the JU1AE Global Type List screen and select a value.

Salary at retirement

The amount of the member's salary at retirement

Type of Annuity

The reason for the annuity payment or the event resulting in the payment of the annuity.  Examples of values are:

-  Abolition Office

-  Balofguarantee

-  Child Post Retiral

-  Child Pre Retiral

-  Disability

-  Early Retiral

-  Ill-health

-  Late Retiral

-  Normal Retiral

-  Paid Up

-  Sick Pre Retiral

-  Spouse post retiral

-  Spouse pre retiral

-  Term

-  etc.

Cessation Reason

The reason that the annuity payment has ceased.  Select the appropriate reason from the drop-down box. Examples are:

-  DEATH

-  DISABILITY END

-  EDUCATION ENDED

-  TERM ENDED

Note:

Once the Home Affairs file is uploaded via the system, the batch job will put a cessation reason of death in the CESSATION REASON field. 

Note:

This is mandatory if END DATE has been captured.

Guarantee Date

The date until which the annuity payment is guaranteed.

End Date

The date the annuity ceases to be payable.

This field is populated by the value in the END_DATE field on the AB77 Annuity Payment take-on layout

Note:

Once the Home Affairs file is uploaded via the system, the batch job will put the date of death in the END DATE field.

Also refer to End Dating of Annuity Record under

Processes

Regular Payments

Annuity Payments

Calculation of Overpayments on Death of Annuitant

Apply Rule

If this is ticked the medical aid expense rules will be applied to the annuitants to calculate their medical aid contributions.

Tax Type.

The purpose for which tax will be deducted.  Select a value from the drop-down list.  Examples are:

-  CHILD

-  DEATH

-  DEFERRED

-  MEMBER

-  PENSIONER

-  WIDOW

Base Currency

The primary currency in which the scheme operates.  Click LIST to flow to the JU0AC Permitted Value List screen and select a value.

Disability Status

Select one of the following values from the drop-down list. 

-  MEMBER DISABLED

-  DEPENDANT DISABLED

Statement indicator

Indicates whether or not a pensioner statement must be generated for the annuitant.

Select YES or NO from the drop-down list. 

If the indicator is set to YES then a pensioner statement will be prepared by the system.

If the indicator is set to NO then a pensioner statement will NOT be prepared by the system.

If no selection is made i.e. <NONE>, a warning message will be displayed when OK is selected.  (See Statement Indicator field below).

No. Of Adult Dependants OR Cumulative Amount

The number of adults dependant on the member where the payment type selected is MEDICAL AID, or the cumulative total of the loan amount where the payment type selected is ANN LOAN.

No. of Additional Adult Dependants

The number of additional dependants on the member where the payment type selected is MEDICAL AID or the balance of the loan amount still outstanding where the payment type selected is ANN LOAN.

No. Of Minor Dependants OR Outstanding Balance

The number of minors dependant on the member where the payment type selected is MEDICAL AID or the balance of the loan amount still outstanding where the payment type selected is ANN LOAN.

Medical Aid Subsidy %

The employer’s contribution percentage to the pensioner’s medical aid premiums.

Spouse/Depdnt%

The percentage of the annuity that is payable to the spouse or dependent.

This is used to determine what the member’s annuity would be at any point, taking into account increases, when applying the minimum pension amount.

The system allows for a value greater than 100% to be captured.

Note:

This field only appears if the payment type selected is ANNUITY.

Special Increase Type

If a value of AGE BASED is selected, then age related increases will be applied for a member, spouse or disabled dependant reaching a predefined age.

For more information refer to

Supplements

Processes

Setting up Age Band Increases for Annuitants

Pro-Rata Increase Type

The member can elect a full or pro-rata first increase when purchasing an annuity and this is taken into account in the cost.

Select PRO-RATA or FULL from the drop-down list.

Examples are:

-  FULL

-  FULLINCPARTMNTH

-  FULLMONTHSONLY

-  PRO-RATA

If no selection is made, the system will default to PRO-RATA.

Increase Month

The month that Instalment Growth pension increases are applied, if applicable, e.g. Product 10)

Note:

This is only relevant for purchased annuities where the annuitant has the option to select their own increase month.

Increase Percentage

The Guaranteed Escalation percentage.

Note:

If an Annuitant has a Product that is based upon CPI plus a percentage growth or CPI multiplied by a percentage growth, the percentage growth must be captured in the Increase Percentage field.

Purchase Price Rate

The interest rate, if applicable, at which the annuity was purchased, i.e. ignoring future returns in excess of this rate.

Minimum Increase

The minimum amount of applicable.

Bonus Percentage

The percentage bonus that an annuitant will receive where the bonus is different for an annuitant than the bonus for the Scheme.

Note:

If a value is captured for Bonus Amount then the Bonus Percentage field will not be enabled to capture a value.

Note:

If a value has been captured on the JU4DC Payment Details screen for Bonus Percentage, the system will default the value for Bonus Participation to INDIVIDUAL on the JU4DD Membership Payment Details screen.

Bonus Month

The month for which the bonus is effective.

Note:

This is only relevant for purchased annuities where the annuitant has the option to select their own bonus month.

Bonus Amount

The amount of bonus that an annuitant will receive where the bonus is different for an annuitant than the bonus for the Scheme.

Note:

If a value is captured for Bonus Percentage then the Bonus Amount field will not be enabled to capture a value.

Note:

If a value has been captured on the JU4DC Payment Details screen for Bonus Amount, the system will default the value for Bonus Participation to INDIVIDUAL on the JU4DD Membership Payment Details screen.

Policy Number

The number identifying the Policy for the member.

User Id

The User Id of the user who created the payment.

Date and Time

The date and time on which the payment was created.

Updater Userid

The User Id of the last user to update the payment details.

If no subsequent updates have been made, this field will be blank.

Update Timestamp

The timestamp of the last update made to the payment details.

If no subsequent updates have been made, this field will be blank.