Accounting Procedures Handbook

PENSION/BENEFITS 17.3 TRUST AND AGENCY FUNDS • All data involving employee benefits is accurate and properly obtained. • All reporting is done on an accurate and timely basis. • Worker’s compensation insurance is adequately funded. • Employees are receiving a competitive and complete benefit package. III. PROCEDURES Note: The following procedures outlined in this document are performed by the Employee Benefits Analyst unless otherwise noted. A. Aetna Retirement Plan -Monthly Activity for BANK OF NEW YORK Custodial Account The purpose of this activity is to maintain detail of activity of purchases and sales of investments and monthly interest & dividends for plan assets. 1. Retrieve MS Excel spreadsheet Croft activity {YYYY}.xls. From the monthly statements: a. Enter Board/employee contributions b. Enter transfers to Aetna’s SA174 or General Account c. Sum and enter monthly interest & dividends; d. Enter any custodian, investment or legal fees; e. Enter life insurance premiums; f. Enter purchases of securities and tie to cash disbursed by purchase and in total using the Purchases sheet of file. Link total or enter total in lead sheet g. Enter sales/maturity of securities and tie to cash received using the sales sheet of file; h. Determine cost basis of securities from previous months statements and enter; i. Resulting gain or loss will be calculated. Link total or enter total in lead sheet. j. Enter market value of portfolio (other than cash) in Equity & Bonds market value column; k. Reconcile cash, book value and total market value. Determine differences and correct or maintain reconciliation for further research. 2. Funds must be transferred to the General account due to the annuity allocation being less than the General Account balance at month end. a. Aetna customer service personnel may fax a letter re: an estimated deficit. b. Month end statements will confirm the deficit 3. Monthly request from Aetna Large Case Pensions for funding SA174; a. Retrieve the last letter in MS Word Aetna\BANK OF NEW YORK\sa174trn{YYMM}. Wire instructions are accurate unless revised. b. Change date, amount requested by Aetna, and amount determined to be transferred, e.g., rounding. Save letter with “save as” prompt. c. Print, sign & fax letter to BANK OF NEW YORK Custody Services asper letter. Make copy for file. d. Mail signed original (as requested by BANK OF NEW YORK forinternal control/audit purposes). e. Email copy of letter to Croft via GroupWise attachment. 4. Request for funding General Account; a. Retrieve the last letter in Word Aetna\BANK OF NEW YORK\sa174{YYMM}GA. Wire instructions are accurate unless revised. b. Change date, amount requested by Aetna and amount determined to be transferred,