Exclusive to Healthcare.
Dedicated to People.^SM

 

Supplemental Executive Retirement Plan Design

Retirement benefits are among the most important benefits employees receive through their employment relationship. Retirement benefits are highly valued by employees and are effective in building retention and loyalty. Qualified pension plans are tax-favored plans allowing deposits and earnings to accumulate without being taxed. Over long periods of time, this tax advantage is a powerful tool in building retirement savings that individuals are generally unable to duplicate outside of an employment relationship.

Qualified pension plans are limited by law in the amount of pay they may use to calculate benefits, the amount of income they may provide following retirement, and the amount of accruals that may be set aside in a single tax year. Because of these statutory limits, retirement benefits for executives are frequently delivered through a combination of qualified and non-qualified retirement plans. The non-qualified plans allow for delivery of a competitive retirement benefit on salaries that exceed the qualified plan legislative limit.

Integrated Healthcare Strategies can assist you in designing a supplemental executive retirement plan that meets the needs of both your organization and your executives. Our study process will include a discussion with the board and CEO about targeted benefit level, leadership retention concerns and structural preferences. After analyzing the current qualified retirement benefits, we will design a program specifically tailored to your needs.