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Microsoft Dynamics AX (Archived)

COBRA Benefits

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Hello,

Benefits in AX work well with normal benefit functions like enrollment, deductions, garnishments, tax levies, and payouts if you use the Payroll module, and is still somewhat useful for recordkeeping if you do not. I noticed that the TechNet materials mention that benefits can be set up for COBRA benefits too. COBRA benefits are for eligible recently terminated or low-hour workers to continue paying into the plans they had as a full employee.

However, how can you set up and manage COBRA benefits, when the worker has been terminated in AX and marked as inactive? You cannot modify the benefits of terminated workers as of R3, and you cannot generate pay statements for terminated workers, so benefits cannot be calculated, deducted, or paid out either. How exactly is that supposed to work then?

Thanks,

Cody

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    on at

    Hi Cody, though it would be a very late response for this question , we can handle COBRA in US Payroll using benefits itself.

    Step 1: Create a benefit named "COBRA"

    Step 2: Enrol employees who are on for a termination in the system. That is , once the HR knows that the employee is going to leave, HR can enrol the employee in COBRA benefit.

    Step 3: When enrolling the worker to COBRA , the effective date and expiration date can be used to set the COBRA coverage to be given to that worker. Normally the time period for the coverage ranges up to 180 days after termination.

    Step 4:  After enrollment , terminate the employee

    Step 5: Now navigate to Worker benefit and deduction set up inquiry , select COBRA benefit and refresh the screen . Now you will be seeing worker who is in COBRA.

    By this way you can maintain a past worker under COBRA. Regarding payments , you can handle those with specific main accounts and mapping employee as a vendor.

    Hope this helps.

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