Solutions & Case Studies

 

Through a collaborative consulting process coordinated with your current benefit, legal, accounting and financial advisors, The Executive Benefits Guy can deliver successful strategies, such as these described below: 

  • A Non-Qualified Deferred Compensation (NQDC) plan for the  top executives of a regional bank: 
    • provides for employee deferrals of both salary and bonus,
    • includes employer matching contributions, and “catch-up” contributions to provide for profit sharing payments that are not otherwise eligible to be paid into the qualified plan due to governmental restrictions.
    • The plan provides an indexed savings rate to reflect current stock market conditions,
    • offers a substantial pre-retirement survivor’ benefit,
    • and ultimate retirement income for up to 15 years based upon the individual’s account balance. 

 Learn more about the facts and prevalence of Non-Qualified Deferred Compensation Plans (click here).

 

  • An Insured Supplemental Death Benefit and Savings plan for a large group of management for a national retailer: 
    • The plan is employer funded with deductible contributions,
    • permits additional after-tax employee contributions in a “Roth IRA” type program using institutionally priced life insurance;
    • Executives own the policy, name their own beneficiaries, direct the plan investments and take the policy with them upon termination.
    • This plan also provides the employer with a Modification of Ownership Rights provision that restricts participant access to the account values for other than specified events during their employment. 

 

  • Another variation of the Insured Savings Plan approach for key people of a privately-held S-Corporation:
    • Provides the employees with the equivalency of pre-tax deferrals, tax deferred growth, control over investments, pre-retirement survivor benefits, and a choice of strategies for managing their account balances at retirement.
    • The employer contributions offset the basic insurance plan costs, and the “tax bonus” needed for the plan participants to achieve their pre-tax elective savings goal.
    • This plan design maintains the owner’s after-tax cost of contributions to the same cash outlay as if the qualified 401(k) plan match were permitted and not capped under the qualified plan rules.

 

Learn More about the Management Security Plan (click here).

 

  • An Executive Long Term Care wealth protection plan for key officers of a community bank:
    • Individual long term care insurance policies provided for both key executives and their spouses.
    • Premiums paid for by employer and fully tax deductible.
    • No imputed income for executive; no taxation of benefits in the event of claim.
    • Policies fully paid-up after 10 annual premium payments and fully portable for the executive.
    • Benefits of up to $6,000 per month for up to 3 years, indexed for inflation.  Full home health-care permitted.
    • Cash (indemnity) benefits received; money may be spent however necessary at discretion of insured vs. reimbursement only of direct medical expenses. 

 

Other plan solutions include:

 

  • Liability funding strategies using Corporate Owned Life Insurance (COLI)
  • Supplemental executive benefit plans for retirement, death, disability and long term care insurance
  • Bank Owned Life Insurance (BOLI) funding strategies
  • Employee Stock Ownership Plans (ESOP’s )
  • Buy-Sell funding strategies
  • Supplemental Executive Retirement Plans (SERPs )
  • Group Term Life Insurance Carve-out strategies
  • Split Dollar life insurance plans
  • Phantom stock plans

 Learn more about the Executive Benefit Design Matrix (click here).

 

Click the link here to learn more about non-qualified deferred compensation plans at www.deferral.com*

 

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