 Preferred Compensation
It is usually in a company’s best interest to keep the best of the crew on board, but it’s not easy in the face of competitors who offer better remuneration packages. Employees are no longer content to work for one firm for the rest of their lives without sufficient compensation, but the loss of staff members with special skills or knowledge can impact the financial health of a business.
Yes, salary increases may provide one solution but the PREFERRED COMPENSATION PLAN provides an alternative, win-win benefit to both employer and selected employees.
BENEFITS TO EMPLOYER:
• A cost-effective way to retain selected staff.
• Contributions (paid in the form of a salary increase) are tax-deductible
• Control is retained due to a security cession of the contract.
• A flexible negotiation tool.
•The company remains the owner for the specified term and should the employee leave before the time, the company will receive the proceeds.
BENEFITS TO EMPLOYEE:
• A market-related investment plan
• Regular after-taxed bonuses after the first five years.
• Optional performance guarantees.
• Contributions are flexible and a form of contractual savings.
• Does not affect any conventional benefits the employee may already be receiving.
|