PLANSPONSOR - April/May 2019 - 55

" Nonqualified executive compensation plans are certainly
not just reserved for large corporations, nor only a handful of top
executives, " notes Harry Dalessio, head of Full Service Solutions
at Prudential. " Particularly in this tight labor market, companies
of all sizes are looking for ways to attract and retain key talent at
all levels. Executive compensation programs are a great way to
differentiate a company benefits package, and the more they can
be improved and expanded, the better, " he adds.
More firms this year have decided to informally fund the
NQDCP, whereby assets are set aside to finance NQDCP benefits.
When asked why they informally fund the plan, just over 36% say
that the reason is to manage the asset-to-liability ratio of the plan.
Additionally, almost one-third of plans informally fund in order to
improve employee benefit security, which is a significant increase
from last year's 24.3%.
In order to help improve their NQDCPs, more employers are
relying on outside providers. In terms of record-keeping, there's
a shift towards use of third party recordkeepers among large
companies from 75% last year to 83% this year. Similar to last year,
only about 6% of employers handle their NQDCP recordkeeping
in-house. " Using a third-party provider that has specific subject
matter expertise in nonqualified programs is simply good practice.
Tax laws are ever changing and engaging a firm that has extensive
experience in this area as well as current legislative requirements
is key, " Dalessio says.
What is your criteria for eligibility?
Base salary/
Commissions
All Respondents
Annual Sales/
Revenues >$1b
Annual Sales/
Revenues <$1b
8.6%
9.9%
4.9%
Total
Compensation:
Base + Bonus
21.1%
20.7%
22.0%
To what is the investment or crediting rate(s)
in the NQDCP tied?
All Respondents
Annual Sales/
Revenues >$1B
Annual Sales/
Revenues <$1B
Outside index*
Company
stock/
Performance
units
Market-based
investments
11.9% 14.8% 7.0%
9.3% 9.0% 9.9%
83.9% 85.2% 81.7%
Other
7.8% 7.4% 8.5%
No NQDCP
changes
planned
Yes
(adding/
enhancing
features)
Yes
(reducing
features)
Yes
(eliminating
plan)
* Outside index (e.g., Moody's bond index) fixed rate or company performance rate
Title
Salary + Title
15.8% 15.1%
Job Grade
Other
12.6% 13.5% 24.3%
24.4%
Are you considering changes
to your NQDCP?
All
Respondents
Annual Sales/
Revenues >$1B
Annual Sales/
Revenues <$1B
21.7% 17.8%
18.9%
19.5% 14.6% 14.6%
81.7% 81.1% 83.3%
15.0% 14.4% 16.7%
3.3%
4.5%
0.0%
0.0% 0.0% 0.0%

PLANSPONSOR - April/May 2019

Table of Contents for the Digital Edition of PLANSPONSOR - April/May 2019

2019 Plan Sponsor of the Year Winners and Honorees
2019 DB Administration Survey
2019 PLANSPONSOR Service Stars
Acting on ESG Principles
Pension Risk Transfers Increase
Out of Harm's Way
PLANSPONSOR - April/May 2019 - C1
PLANSPONSOR - April/May 2019 - FC1
PLANSPONSOR - April/May 2019 - FC2
PLANSPONSOR - April/May 2019 - C2
PLANSPONSOR - April/May 2019 - 1
PLANSPONSOR - April/May 2019 - 2
PLANSPONSOR - April/May 2019 - 3
PLANSPONSOR - April/May 2019 - 4
PLANSPONSOR - April/May 2019 - 5
PLANSPONSOR - April/May 2019 - 6
PLANSPONSOR - April/May 2019 - 7
PLANSPONSOR - April/May 2019 - 8
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PLANSPONSOR - April/May 2019 - 12
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PLANSPONSOR - April/May 2019 - 14
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PLANSPONSOR - April/May 2019 - 19
PLANSPONSOR - April/May 2019 - 20
PLANSPONSOR - April/May 2019 - 21
PLANSPONSOR - April/May 2019 - 2019 Plan Sponsor of the Year Winners and Honorees
PLANSPONSOR - April/May 2019 - 23
PLANSPONSOR - April/May 2019 - 24
PLANSPONSOR - April/May 2019 - 25
PLANSPONSOR - April/May 2019 - 26
PLANSPONSOR - April/May 2019 - 27
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PLANSPONSOR - April/May 2019 - 37
PLANSPONSOR - April/May 2019 - 38
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PLANSPONSOR - April/May 2019 - 40
PLANSPONSOR - April/May 2019 - 41
PLANSPONSOR - April/May 2019 - 42
PLANSPONSOR - April/May 2019 - 43
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PLANSPONSOR - April/May 2019 - 45
PLANSPONSOR - April/May 2019 - 46
PLANSPONSOR - April/May 2019 - 47
PLANSPONSOR - April/May 2019 - 2019 DB Administration Survey
PLANSPONSOR - April/May 2019 - 49
PLANSPONSOR - April/May 2019 - 50
PLANSPONSOR - April/May 2019 - 51
PLANSPONSOR - April/May 2019 - 52
PLANSPONSOR - April/May 2019 - 53
PLANSPONSOR - April/May 2019 - 54
PLANSPONSOR - April/May 2019 - 55
PLANSPONSOR - April/May 2019 - 56
PLANSPONSOR - April/May 2019 - 57
PLANSPONSOR - April/May 2019 - 2019 PLANSPONSOR Service Stars
PLANSPONSOR - April/May 2019 - 59
PLANSPONSOR - April/May 2019 - 60
PLANSPONSOR - April/May 2019 - 61
PLANSPONSOR - April/May 2019 - 62
PLANSPONSOR - April/May 2019 - 63
PLANSPONSOR - April/May 2019 - 64
PLANSPONSOR - April/May 2019 - 65
PLANSPONSOR - April/May 2019 - 66
PLANSPONSOR - April/May 2019 - 67
PLANSPONSOR - April/May 2019 - Acting on ESG Principles
PLANSPONSOR - April/May 2019 - 69
PLANSPONSOR - April/May 2019 - Pension Risk Transfers Increase
PLANSPONSOR - April/May 2019 - 71
PLANSPONSOR - April/May 2019 - Out of Harm's Way
PLANSPONSOR - April/May 2019 - 73
PLANSPONSOR - April/May 2019 - 74
PLANSPONSOR - April/May 2019 - 75
PLANSPONSOR - April/May 2019 - 76
PLANSPONSOR - April/May 2019 - C3
PLANSPONSOR - April/May 2019 - C4
https://www.plansponsordigital.com/plansponsor/may_june_2024
https://www.plansponsordigital.com/plansponsor/march_april_2024
https://www.plansponsordigital.com/plansponsor/january_february_2024
https://www.plansponsordigital.com/plansponsor/november_december_2023
https://www.plansponsordigital.com/plansponsor/september_october_2023
https://www.plansponsordigital.com/plansponsor/july_august_2023
https://www.plansponsordigital.com/plansponsor/may_june_2023
https://www.plansponsordigital.com/plansponsor/march_april_2023
https://www.plansponsordigital.com/plansponsor/december_2022_february_2023
https://www.plansponsordigital.com/plansponsor/october_november_2022
https://www.plansponsordigital.com/plansponsor/august_september_2022
https://www.plansponsordigital.com/plansponsor/june_july_2022
https://www.plansponsordigital.com/plansponsor/excellenceawards_2022
https://www.plansponsordigital.com/plansponsor/april_may_2022
https://www.plansponsordigital.com/plansponsor/february_march_2022
https://www.plansponsordigital.com/plansponsor/december_2021_january_2022
https://www.plansponsordigital.com/plansponsor/october_november_2021
https://www.plansponsordigital.com/plansponsor/august_september_2021
https://www.plansponsordigital.com/plansponsor/june_july_2021
https://www.plansponsordigital.com/plansponsor/april-may_2021
https://www.plansponsordigital.com/plansponsor/february-march_2021
https://www.plansponsordigital.com/plansponsor/december-january_2021
https://www.plansponsordigital.com/plansponsor/october-november_2020
https://www.plansponsordigital.com/plansponsor/august-september_2020
https://www.plansponsordigital.com/plansponsor/june-july_2020
https://www.plansponsordigital.com/plansponsor/april-may_2020
https://www.plansponsordigital.com/plansponsor/february-march_2020
https://www.plansponsordigital.com/plansponsor/december-january_2020
https://www.plansponsordigital.com/plansponsor/october-november_2019
https://www.plansponsordigital.com/plansponsor/august-september_2019
https://www.plansponsordigital.com/plansponsor/june-july_2019
https://www.plansponsordigital.com/plansponsor/april-may_2019
https://www.plansponsordigital.com/plansponsor/february-march_2019
https://www.plansponsordigital.com/plansponsor/december_2018-january_2019
https://www.plansponsordigital.com/plansponsor/october-november_2018
https://www.plansponsordigital.com/plansponsor/august-september_2018
https://www.plansponsordigital.com/plansponsor/june-july_2018
https://www.plansponsordigital.com/plansponsor/april-may_2018
https://www.plansponsordigital.com/plansponsor/february-march_2018
https://www.plansponsordigital.com/plansponsor/december_2017-january_2018
https://www.plansponsordigital.com/plansponsor/november_december_2017
https://www.plansponsordigital.com/plansponsor/october_2017
https://www.plansponsordigital.com/plansponsor/september_2017
https://www.nxtbookmedia.com