Using deferred compensation plans to reward key employees
- Are you looking for ways to reward key employees to encourage retention and induce loyalty?
- Would you like certain employees to feel they have a stake in your company without giving up any ownership?
- Would you like to provide larger bonuses to high performing employees but do not have the current cash flow?
If you answered yes to any of the above questions, your business may want to consider adopting a nonqualified deferred compensation (NQDC) plan. Such a plan is simply an agreement between an employer and an employee to pay the employee compensation in the future.
To read more about NQDC plans, click here.