Employees who once routinely deferred compensation are now rethinking those habits after tax reform under the “Tax Cuts and Jobs Act”. One concern is whether it may be better to take income today because of uncertainty about tax increases in the future. This article shows how you should consider tax changes and investment returns when analyzing whether to participate in your company’s nonqualified deferred compensation (NQDC) plan.

Nonqualified deferred compensation (NQDC) is all about saving for your life goals in a way that reduces the…

The annual amounts you can contribute to a qualified plan may represent a much smaller percentage of your income than you would like to defer and put away for retirement…