Purchase Solution

Executive Retirement Plans vs 401 K Plans

Not what you're looking for?

Ask Custom Question

Task: Compare Supplemental Executive Retirement Plans with 401 K Plans. Make sure to cite any references used.

Purchase this Solution
Solution Summary

In about 435 words, with references, this solution addresses Executive Retirement Plans and compares them with 401K Plans.

Solution Preview

Compare Supplemental Executive Retirement Plans with 401K.

Overview

Supplemental Executive Retirement Plans, also called SERPS. "The tax code sharply limits the ability of highly compensated executives to defer compensation under a qualified retirement plan. For example, compensation in excess of $170,000 must be completely disregarded for benefit accrual purposes under qualified pension or profit-sharing plans." McCord (2000) SERPS are also called "top hat plans" as the plans are for the well-off.

Supplemental Executive Retirement Plan

Companies are able to limit payments on basic pension plans by creating a Supplemental Executive Retirement Plan. The corporation's top executives determine the executives who will take part in the ...

Solution provided by:
Jo Ann Prevetti, MBA, PhD (IP)
Education
  • Master of Business Administration, University of Phoenix
  • Bachelor of Science in Paralegal Studies, Kaplan College
  • Business Diploma, Katharine Gibbs Business College for Women
Recent Feedback
  • "Thank you!!!"
  • "Thank you"
  • "Thank you so much "
  • "Thank you very much"
  • "Thank you so much "
Purchase this Solution
Free BrainMass Quizzes
Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

Understanding Management

This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.

Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.

Business Ethics Awareness Strategy

This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.

View More Free Quizzes
Related BrainMass Solutions

  • Business Math for Typical Categories

    Compare and contrast the features of the two types of retirement plans? 401(k) Plan.

  • Some of the Benefits Available to Employees

    There are a variety of contribution plans to select from. There are several types of 401(k) plans available to employers - traditional 401(k) plans, safe harbor 401(k) plans and SIMPLE 401(k) plans. Different rules apply to each.

  • Hybrid 401(k)

    the elements of pensions and 401(k) plan of retirement.

  • Retirement Plans and ERISA

    What is the difference between defined contribution and defined benefit retirement plans? What are differences between 401(k) and 401(b) plans? What are the fiduciary responsibility imposed from ERISA?

  • The advantages of 401(k) contribution in cash vs stock

    Now with 401(k) and 403(b) plans (school districts and other non-profit entities), the employee funds a good part of the contribution. Enron deserves a mention here in that they used company stock to fund retirement plans.

  • Lump sum required

    Examples of defined contribution plans include 401(k) plans, 403(b) plans, employee stock ownership plans, and profit-sharing plans.

  • Maximum 401(k) contribution

    401(k)s are retirement plans often offered in lieu of pension plans. They require that th employee contribute some of their earnings to an account which is strictly for their use upon retirement.

  • Kim Edwards and Chris Phillips Retirement

    Both Kim and Chris will retire at age 67, and the 401(k) plan averages a 12 percent annual return, compounded monthly. Who will have more 401(k) money at retirement? Please see the attached file.

  • Defined Contribution vs Defined Benefit Plan & Pension Expense

    Under the 'Read Me First' material, it states: 'Congress is considering making defined benefit programs more attractive, including the creation of "defined benefit 401(k)" plans, which would have many of the advantages employees like in 401(k) plans,

View More Related Solutions