Nonqualified Deferred Compensation
We are using Nonqualified Deferred Compensation (NQDC) plans to do the following:
- Reward and retain key executive with state of the art deferred compensation plans
- Provide “golden handcuffs” for key executives so that they stay on the job
- Provide a tax deferred alternative for the liquidity event in a corporate takeover
- Provide a cost effective way to consolidate old key man insurance policies into a much more efficient and institutionally priced plan
- Provide key executive with a plan that allows the executive to manage their taxes by managing and deferring their income.
Who might benefit from a nonqualified deferred compensation plan?
- Company executives
- Employees looking to contribute in excess of qualified plan limits
Benefits for the participant:
- Deferred compensation on a pre-tax basis
- No Internal Revenue Code (IRC) contribution limits
- Customized strategy
- Earnings accumulate tax-deferred
Benefits for the company:
- Discretionary incentive to recruit, retain, and reward key employees
- Simplified administration
What others are saying about NQDC Plans:
- “Delaying Today’s Compensation Could Pay Off in The Future”, Forbes
- “How Executives Can Minimize the Retirement Tax Hit”, WSJ
- “Seeing the Opportunity in NQDC”, Plansponsor
- “2015 NQDC/457(f) Buyer’s Guide”, Plansponsor
- "How It Could Affect Your Taxes", Fool
If you’d like to discuss the advantages of a nonqualified deferred compensation plan, we’re ready to help. Call for more information: (262) 784-0754.
Serving the Needs Of Our Plan Sponsors and Their Plan Participants Nationwide
