The Rise of the Nonqualified Deferred Compensation (NQDC) Plan

Nonqualified deferred compensation (NQDC) retirement plans are becoming more popular than ever in response to ongoing labor challenges.

Many companies offer NQDC plans as a retirement benefit for executive-level employees because IRS contribution limits make 401(k) plans inadequate on their own for many high earners. NQDC plans allow these high-earning employees to set aside more of their income to receive at a later date while also deferring the income tax on those earnings. READ MORE