Make a Commitment to Your Valued Employees By Adding Life to Your Business

Make a Commitment to Your Valued Employees

By Adding Life to Your

Business

You have grown your business from the ground up. Your employees have been with you all the way. How do you reward them for their loyalty and hard work?

Show them their true value with a non-qualified deferred compensation plan using life insurance.

How it Works

For many people, the savings offered by qualified plans alone may not provide enough funds to maintain their current standard of living in retirement. But non-qualified deferred compensation plans funded with life insurance can be used to help key employees supplement their retirement income -- providing an excellent tool to help you recruit, reward and retain key talent.

With non-qualified deferred compensation plans, the employer gives a key employee or group of key employees the ability to defer some of their salary and bonus compensation on a pretax basis.

The business purchases life insurance policies on each key employee, and the employee defers money into the plan. The employer can make additional contributions into the account but is not required to do so.

The employee is immediately 100% vested in his or her own contributions and earnings.

Potential Employer Benefits

Serves as both a recruiting and retention tool for valued employees.

Requires less administration and fewer funding requirements than qualified plans.

Enables the business to select who receives benefits, when they receive them and how much they receive, unlike qualified plans.

Premiums can be paid by the business, valued employee or both.

The death benefit from the insurance funding can allow the business to recover costs.

Provides a tax deduction when employee receives compensation from the plan.

Potential Employee Benefits

Recognition of key employees' contributions to your business.

Tax deferral of potential earnings until employee receives compensation under terms of the plan.

Source of supplemental retirement income. Unlimited employer and employee deferrals, plan

permitting. Provisions of the plan may provide a supplemental

death benefit to the employee's successors.

Call Us Today! 800-422-7536

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