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I'm trying to figure out how DATAIR generates the Permitted Disparity Factor (for DB portion). Is there a table that is referenced? I thought it was based purely on Retirement Age, but it looks like the participant's age also has an effect. Depending on these two variables, I get a value between 0.32% and 1.1%.

The calculation seems strange to me as it increases up to 1.1% if the retirement age is 70, but then drops down to 0.75% if the retirement age is 71 or later. Does anyone know if these calculations are correct? I read somewhere that the max rate should be 0.75%, which is why I'm questioning the accuracy. If so, could you please provide the table that's being referenced?

Thanks.

  • 1 year later...

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