Deferred Compensation Arrangement

Deferred compensation is an addition to an employee's regular compensation that is set aside to be paid at a later date. In most cases, taxes on this income are deferred until it is paid out. There are many forms of deferred compensation, including retirement plans, pension plans, and stock-option plans¹.

Deferred compensation can be offered as a way for employers to retain key employees or as a way for employees to save for retirement. The employee can choose how much of their salary they want to defer and how they want the money invested¹.

We are here to assist in your insurance and planning needs. Please reach out to us today. And, as our gift, you are welcome to download this informative FREE resource.  

Thank you,

(1) What Is Deferred Compensation? - Investopedia. https://www.investopedia.com/terms/d/deferred-compensation.asp.

(2) DCP - Deferred Compensation Program - Plan Guide. https://www.drs.wa.gov/plan/dcp/.

(3) Plan Highlights - Pennsylvania State Employees' Retirement System. http://sers.pa.gov/DeferredCompensationPlan.html.

(4) New York State Deferred Compensation. https://www.nysdcp.com/rsc-web-preauth/.

(5) dcphome - NYC.gov. https://www.nyc.gov/site/olr/deferred/dcphome.page.