[dunner]

I'm wondering if the calculations on the T1032Opt form are subject to some threshold that Intuit considers immaterial. I did the optimization using the T1032Opt on a client's file and the program determined that there was no advantage in splitting the pension income. However, when I ran my own calculations in Excel, I arrived at savings of $16. Now granted that is not a lot of money but are the Profile calculations subject to some minimum threshold? I would hope not because IMO it's up to the accountant and client to determine what constitutes immaterial savings. Also, most of my clients would prefer to take the $16 in savings. I'm not worried about Profile's calculations since they appear to work where the savings are greater. I've just noticed that the Profile calculations don't seem to be reliable where the savings are low.

[samhill]

dunner, on 19 April 2011 - 05:01 AM, said:

I'm wondering if the calculations on the T1032Opt form are subject to some threshold that Intuit considers immaterial. I did the optimization using the T1032Opt on a client's file and the program determined that there was no advantage in splitting the pension income. However, when I ran my own calculations in Excel, I arrived at savings of $16. Now granted that is not a lot of money but are the Profile calculations subject to some minimum threshold? I would hope not because IMO it's up to the accountant and client to determine what constitutes immaterial savings. Also, most of my clients would prefer to take the $16 in savings. I'm not worried about Profile's calculations since they appear to work where the savings are greater. I've just noticed that the Profile calculations don't seem to be reliable where the savings are low.

Roger, Kevin!

In a really tight situation, your Excel calculation showed $0.02 savings and Profile showed zero.

I prefer your more detailed calculation, although I did not act on the 2 cent saving.

Profile most probably uses a "floor" amount before showing any savings in their algorithm.

[dunner]

I wouldn't do it for 2 cents either and I'm also pretty sure there must be a minimum built into the program. I just think that it should be user-defined as in the Fx program when determining when to adjust CPP/EI premiums on T4 remittances.

[Peter@Intuit]

dunner, on 19 April 2011 - 06:01 AM, said:

I'm wondering if the calculations on the T1032Opt form are subject to some threshold that Intuit considers immaterial. I did the optimization using the T1032Opt on a client's file and the program determined that there was no advantage in splitting the pension income. However, when I ran my own calculations in Excel, I arrived at savings of $16. Now granted that is not a lot of money but are the Profile calculations subject to some minimum threshold? I would hope not because IMO it's up to the accountant and client to determine what constitutes immaterial savings. Also, most of my clients would prefer to take the $16 in savings. I'm not worried about Profile's calculations since they appear to work where the savings are greater. I've just noticed that the Profile calculations don't seem to be reliable where the savings are low.

Hi Dunner,

I don't believe we inserted a threshold into that optimization calculation.

If you can provide some specific details on the scenario you are analyzing (here or through call support), we can dig into it and see what's going on.

Peter