Objective
- Define nonqualified deferred compensation (NQDC) and explain how it differs from qualified retirement plans
- Identify and describe the key compliance requirements for NQDC plans, including IRC Section 409A and other relevant regulations
- Understand the taxation of NQDC plans, including the timing of income recognition, FICA, and federal/state taxes, and the tax consequences for both employers and employees
- Distinguish between the various types of NQDC plans, such as salary deferral arrangements, and supplemental executive retirement plans (SERPs), and understand their unique features and benefits
- Understand the financing and funding options available for NQDC plans and the pros and cons of each approach
- Develop and implement effective planning strategies for NQDC plans, considering factors such as participant demographics, company objectives, and tax efficiency
- Summarize the key takeaways from the course, emphasizing the importance of proper plan design, compliance, and administration in maximizing the benefits of NQDC plans for both employers and employees
Highlights
- The basics of nonqualified deferred compensation (NQDC)
- NQDC compliance
- Taxation of NQDC plans
- Types of NQDC plans
- Financing/funding NQDC plans
- Planning strategies
Designed For
Accounting and finance professionals who wish to gain a deep understanding of nonqualified deferred compensationPrerequisite
NoneAdvanced Preparation
None