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Opportunities And Risks: The Role Of Nonqualified Deferred Compensation In Your Financial Planning (Part 2)

Your company’s nonqualified deferred compensation (NQDC) plan can provide you with the wealth to meet many of your financial goals, including a comfortable retirement. However, participation is not simple, and the choices you must make can seem confusing. Part 1 introduced NQDC, the basic features of NQDC plans, and some primary financial-planning concepts. Part 2 explores the tax deferral that makes NQDC so attractive, and then discusses the restrictions on liquidity and distributions.

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