Deferred Compensation Plan For Non-employee Directors In Queens
Description
Form popularity
FAQ
What is a deferred compensation plan and how does it work? Deferred compensation allows employees to defer payment of an agreed-upon portion of their earned income to a future date, usually retirement. In many cases, the taxes owed on the income are also deferred.
A deferred compensation plan is generally an addition to a company 401(k) plan and may be offered only to a few executives and other key employees as an incentive. Generally, those employees participate in both plans.
The New York State Deferred Compensation Plan (457b) is a voluntary savings plan offered by CUNY to help you save for and live in retirement. The plan offers both traditional pre-tax and Roth 457(b) accounts to provide you with retirement savings choices.
The New York City Deferred Compensation Plan (DCP) allows eligible New York City employees a way to save for retirement through convenient payroll deductions. DCP is comprised of two programs: a 457 Plan and a 401(k) Plan, both of which offer pre-tax and Roth (after-tax) options.
The 401(k) and the 457 are retirement plans offered by employers to their employees to save for retirement. They are similar in almost every way with a few distinctions, the primary one being that 401(k)s are offered by private employers while 457 plans are offered by local governments and some nonprofits.
The Plan differs from other defined contribution retirement plans (like a 401(k) or 403(b)), because it is designed and managed with public employees in mind. The New York State Deferred Compensation Board establishes and administers the Plan policies.
