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Frequently Asked Question
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When and how are Social Security and Medicare taxes (FICA) paid when I defer my income?
While ordinary income tax is deferred until distribution, you do owe Social Security at a rate of…
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More FAQs
How is a secular trust taxed?
What is the tax treatment and withholding for nonqualified defined benefit plans, such as SERPs?
How is a rabbi trust taxed?
What withholding rate applies to the distributions under my nonqualified plan? How are the taxes collected?
What appears on my W-2 for the year of income distribution?
How does my company obtain money from me to pay withholding taxes when I receive distributions under the NQDC plan?
What appears on my W-2 for the year of income deferral?
What is this Section 409A I keep hearing about?
What are the rules on taxation and deferral elections for stock grants that allow deferral of share delivery at vesting?
Is the tax treatment different if I elect to receive my distributions as a lump sum instead of installments?