Why aren all employees offered the opportunity to participate in an NQDP?
In order for a nonqualified deferral plan to remain exempt from many of the ERISA regulations and other limitations imposed on qualified 401(k) plans, it is necessary to limit plan participation to a select group of employees within the company. If all employees were eligible to participate, the tax and contribution-level advantages for plan participants would be lost.
Related Questions
- What if I am offered an opportunity by colleagues at another institution or organization to participate in a project (i.e. receive a sub-award) - what should I do?
- Can an employer give employees age 65 and above any incentive to not participate in the group coverage offered by the employer?
- Can the employees of a multi-level campus that includes an ALC participate in joint training?
