Intricacies of Non-Qualified Deferred Compensation Plans
Deferred compensation plans can be qualified or non-qualified. Those that are qualified include 401(k) and 403(b) plans, which, in compliance with the Employee Retirement Income Security Act (ERISA), have contribution limits. By law, they must be held in a trust account for security purposes, made available to all company employees, and designed to benefit all who would potentially participate…