Executive and Deferred Compensation Arrangements

Overview

This CPE course can be purchased individually or as part of the Risk Management and Insurance Planning Certificate Program.

Executive and equity compensation plans generally form the foundation of the personal financial plans of executives and key employees. A true specialty for the personal financial planner, executive compensation planning requires a mastery of several subject areas, allowing the executive to navigate through a myriad of compensation options, including:

• Traditional bonuses
• Supplemental retirement plans
• Stocks
• Other pseudo ownership incentives

In this audiovisual CPE course, Tom Tillery will explain the various types of employment agreements and compensation arrangements, as well as their income tax implications, for your clients. This course explores these compensation choices and reviews how each option can affect the client's personal financial plan.

Finally, this course looks at deferred compensation, a challenging area of personal financial planning. Once you complete this course, you will have an awareness of the regulatory doctrines and prohibitions to provide your clients with reasoned advice in this critical planning area.

Highlights

Key Topics

• Executive Compensation Plans
• Contracts
• Severance
• Equity Compensation Plans
• Provisions
• Difference from qualified compensation
• Strategies
• Distributions
• Taxation
• Integration with PFP

Prerequisites

Basic knowledge of the areas of personal financial planning (PFP).

Objectives

Learning Outcomes

• In this course, you will learn to do the following:
• Identify the form in which executive compensation is most often paid.
• Recognize a contractual offer to a departing executive.
• Determine when a restricted executive bonus arrangement is indicated.
• Select the correct method of split-dollar life insurance, based on facts and circumstances.
• Recognize a restricted stock agreement.
• Recall the differences between a qualified deferred compensation plan and a nonqualified deferred compensation plan.
• Recognize elements of a salary continuation plan.