Deferred Compensation Agreement Template Withdrawals Nyc In Travis
Category:
State:
Multi-State
County:
Travis
Control #:
US-00417BG
Format:
Word;
Rich Text
Instant download
Description
Deferred compensation is an arrangement in which a portion of an employee's income is paid out at a date after which the income is actually earned. A Deferred Compensation Agreement is a contractual agreement in which an employee (or independent contractor) agrees to be paid in a future year for services rendered. Deferred compensation payments generally commence upon termination of employment (e.g., retirement) or death or disability before retirement. These agreements are often geared toward anticipated retirement in order to provide cash payments to the retiree and to defer taxation to a year when the recipient is in a lower bracket. Although the employer's contractual obligation to pay the deferred compensation is typically unsecured, the obligation still constitutes a contractual promise.
Free preview
Form popularity
More info
In-Service Distribution Forms are available for download from the Plan's Web site at nyc. What is deferred compensation and the New York Deferred Compensation Plan?State taxes are automatically withheld if you are a resident in a state that mandates state income tax withholding at the time of withdrawal. With the DCP pretax option, your contributions are made before tax. Withdrawals, including investment earnings, are taxed in the year of withdrawal.