REWARDING AND RETAINING
EXECUTIVES AND KEY EMPLOYEES

Overview

The most valuable assets of just about any growing business are its key employees. Locating and retaining talented leaders fosters business growth, longevity, and underscores the business commitment of rewarding success.

Why these Programs are Important

Executive benefits enable companies to selectively reward key employees and executives. A well-designed program provides incentives for key employees to remain with your company.

Mainstream retirement plans like a 401(k) have made employees responsible for their own retirement savings. For many executives, however, the yearly investment limit is too restrictive to fulfill their long-term needs. Executives and key employees want to enjoy a rewarding retirement supported by sound financial security.

How Executive Benefits Support Retention

Deferred compensation plans or a company funded supplemental retirement plan are effective ways for employers to keep talented employees invested in your business growth.

Non-qualified deferred compensation plans can be designed to mirror familiar features of basic 401(k) plans, but without the cap on the dollar amount saved or contributed. These plans allow deferral of various forms of pay, including base, bonus, commissions, and special incentives.

Executive Benefits programs “fill the gap” of the 401(k) shortcomings. Some of the potential benefits include:

• Flexibility in eligibility and plan design

• Potential Tax advantages

• High contribution allowed

Supplemental Retirement

Non Qualified Deferred Compensation

Supplemental Executive Retirement Plan (SERP)

Executive Bonus

Supplemental Insurance

Executive Life Insurance

Executive Disability Insurance

Long Term Care

Buy/Sell Funding

Key Person Policies

Considerations

Budget and Commitment

Tax Implications

Liquidity

Vesting Schedule

Administration