HSA rates are not calculating properly for new hires
Hello everyone,
We have a requirement to calculate HSA rates based on the remaining pay periods, ensuring that the calculation considers only 52 weeks and not 53 weeks. To support this, we have selected “Estimated per Pay Period” under the Communicated Rate Frequency.
When we enroll and review the calculated HSA rate:
- Existing employees are calculated correctly, as the system considers 52 weeks only.
- New hires, however, are being calculated using 53 weeks, which results in an incorrect rate.
Example:
Coverage Amount: 8,000
Start Date: 05/04/2026
Remaining Pay Periods:
- Based on 52 weeks: 37 pay periods
- Based on 53 weeks: 38 pay periods
Calculated HSA Rates:
- Existing Employee:
8,000 ÷ 37 = 216.21 - New Hire:
0