Page 113 - Bruce Ellig - The Complete Guide to Executive Compensation (2007)

Chapter 3. Current versus Deferred Compensation 99

1. Who if any will be permitted nonstatutory deferrals?
2. What are the requirements for voluntary and/or involuntary deferrals?
3. When will deferrals be paid and how will interest be determined?
4. How is plan structured to avoid constructive receipt?
5. If the plan is to avoid economic benefit, how will it be structured? If it is to be avoided, how will
the tax liability be handled?
6. What plans have to be amended to not permit 83(b) elections if this is the desired outcome?
7. Ensure that plan is in compliance with Section 409A, modifying as appropriate
8. Communicate and implement the plan
9. Analyze and evaluate the plan, altering as appropriate.
Table 3-6. Deferred compensation action steps

Having reviewed the matter of current vs. deferred compensation, let’s look next at the
stakeholders of executive pay. Who are they, and what is their impact?
Note: You should not rely on accounting, tax, SEC, or other professional service statements
in this chapter. You need to seek appropriate professional counsel for such guidance.
Statements made in this chapter and elsewhere are offered as being illustrative to help you
frame such further investigations with the help of counsel.