102 STAT. 3762
PUBLIC LAW 1 0 0 - 6 4 7 - N O V. 10, 1988 "(i) 1ST CALENDAR YEAR.—With respect to compensation paid in calendar months before the end of the first full calendar year in which the employer is subject to this Act, the contribution rate shall be the average contribution rate paid by all employers during the 3 calendar years preceding the calendar year before the calendar year in which the compensation is paid. The average contribution rate shall be determined— "(I) by dividing the aggregate contributions paid by all employers under this subsection in those 3 calendar years by the aggregate compensation with respect to which such contributions were paid; and "(ID by multiplying the resulting ratio as computed to 4 decimal points by 100. "(ii) 2D CALENDAR YEAR.—With respect to compensation paid in calendar months in the next calendar year, the contribution rate shall be the smaller of— "(I) the maximum contribution limit computed under paragraph (20); or "(II) the percentage rate computed pursuant to the following formula: 2(A2)+B
- ( "(iii) 3D CALENDAR YEAR.—With respect to compensation paid in calendar months in the third full calendar year in which the employer is subject to the coverage of this Act, the contribution rate shall be the smaller of— "(I) the maximum contribution limit computed under paragraph (20); or "(II) the percentage rate computed pursuant to the following formula: R=
A3+2C
"(iv) SUBSEQUENT CALENDAR YEARS.—With respect to all calendar months in calendar years subsequent to that calendar year, the contribution rate shall be determined under subparagraph (C). "(v) MEANING OF SYMBOLS.—For purposes of the formulas in clauses (ii) and (iii)— "(I) 'R' is the applicable contribution rate expressed as a percentage for months in the calendar year;
�
