Qualified and Nonqualified plans work well together as dual reservoirs for retirement savings. Nonqualified Deferred Compensation Plans (NQDC) in particular supplement and enrich the retirement readiness of more highly compensated executives restricted by limitations in qualified plans.
For the employer, NQDC plans are a means to attract and retain top performers. Equally important, NQDCs do not require discrimination testing and there are no contribution limits, allowing for greater flexibility.
For employees, NQDC plans help fill the retirement income gap through virtually unlimited pre-tax deferrals and offers choice and diversity in quality investment alternatives.
Total Plan Management Consulting
We offer comprehensive services and solutions for NQDC plans. With your objectives as a guidepost, we help plan sponsors reach the right decisions with regards to executive benefits. Our dedicated team will assist you in all the key areas of total plan mangement, with intense focus on four key disciplines:
|Plan Design||We will guide you through strategic goal setting, assessments and documentation to ensure plan assets are well balanced against benefit liabilities.We will review plan design for eligibility, vesting, employer contribution formula(s), distributions, and other essential design features that collectively define the operation of the nonqualified plan.|
|Asset Management||Our investment analysts will create a menu of funds and asset allocation models that enhance investment return opportunities while controlling risk.Driven by our proprietary ScorecardSM System, the process is grounded in both quantitative and qualitative metrics. Zero to ten pass/fail criteria is clearly outlined with each independent investment review.|
|Administration||We will help you find the right provider for plan administration services, including daily valuation that integrates participant recordkeeping with the employer financial accounting.Through the analysis, we seek to minimize administrative burdens on sponsor organizations with well-structured centralization of services.|
|Communication||We will employ a multimedia approach to allow participants to make educated and informed decisions that maximize their plan benefits.This includes workshops, webcasts, one-on-one consulting and other preferred modes of learning.|
Does a Nonqualifed Deferred Compensation Plan Make Sense for Your Firm?
A careful analysis is needed before an employer can conclude that NQDC plan is appropriate. Fortunately, we are able to help you assess whether a NQDC plan helps to acheive your HR and financial objectives. If appropriate, we can then implement and manage all aspects of your plan.
Interested in Nonqualified Deferred Compensation Plan Services?
Contact Us: Your San Francisco Employee Benefit Consultants