There's an old adage that says that the true keys to any company's success are its people. Key employees play an important role in your success, so taking good care of them is nothing short of enlightened self interest. A nonqualified executive benefit plan can help make your benefits package competitive enough to recruit, retain and reward the best talent...while paying less in taxes.
Unlike qualified retirement plans, a nonqualified executive benefit plan allows you to choose the employees you wish to cover and exclude others. Contributions to the plan are set by your business and personal objectives. Government regulations, which may restrict the contributions of highly compensated employees to a qualified plan, do not apply to a nonqualified plan. This is particularly important if you find your company’s current benefits package lacking for your own personal needs.
Sometimes, the value of your key people can only be measured when you lose an essential member of your team. Those you choose for your inner circle bring their individual talents and life experiences to the table. When you combine such intangible assets with your ongoing investment in these individuals in the form of salary, benefits and training, you begin to appreciate the value of protecting your business against the loss of one of them. Key Person Insurance can help give you peace of mind that your business will be protected against the unexpected loss of a very valuable employee, and the interruption it may create in your growth and revenue.