Update on "Progressive" Adjustment

After reading the Federal Register on the "Progressive" adjustment, the amount of payment is now a little higher than our first post.

Photo by Jon Flobrant on Unsplash

In our previous post on the new ERP Track 1 and 2, we provided an example on payments for the new program versus the old program. For the first $10,000 of payments should equal a flat $6,000 payment amount plus 10% of the amount in excess of $10,000. We read it as being a flat 10% once you went over $10,000.

In reading the FSA Fact Sheet on the progressive payment section, we misunderstood how it was calculated. We reviewed the Federal Register which had a much better example while the Fact Sheet had no example.