Identifying and hiring the best employees, especially executives, is a lengthy and time-consuming process. Once you’ve identified the right people, you need to offer compensation that convinces those employees to stay with your company.
Deferred compensation plans can deliver, especially for highly compensated employees. With a deferred compensation plan, your business creates a contract that details the compensation an executive will receive at a later date—if conditions are met. Your business retains control of payouts, while your employee receives monetary rewards and tax benefits. Customized deferred compensation plans work for your business while providing an incentive for executives to perform long term.