Financial Management

Question 1

A Payment

Answer 1

An issue of funds from the organization to a participant who is eligible for a benefit product. Also issued when the organization paid a participant too little or billed them too much.

Question 2

A Liability

Answer 2

A charge for funds from the organization to a participant who is eligible for a liability product. Also generated for participants when the organization paid them too much or billed them too little.

Question 3

A Payment Received

Answer 3

An amount of money the organization receives, usually sent in response to a bill. Unlike payments and liabilities, these are not generated as part of case processing. Instead, they are recorded on the system either manually or via a batch process that records payments received in bulk. Payments received are associated with a person’s financials through the allocation of the payment received towards outstanding liabilities.

Question 4

List SPM’s financial building blocks

Answer 4

• Financial component
• Instruction Line item
• Financial Instruction
• Payment Group
• Financial Instrument
• Payslip

Question 5

Financial Component definition and information included

Answer 5

• Schedule to pay or bill in relation to a case

1. Category: payment or liability
2. Primary Client: client for whom entitlement for payment/liability was calculated
3. Case nominee: recipient of payment / bill
4. Amount
5. Delivery Pattern: indicates delivery method or frequency
6. Start & End Date: for the payment/billing schedule