Tax-Sheltered Wealth Building with Non-Qualified Deferred Compensation Plans (EDCP/NQDC)

Non-qualified deferred compensations plans (“EDCP/NQDC”) are benefits plans made available on a selective basis to certain executives and key personnel. Small business owners may also find great benefit in adopting NQDC plans. These plans can allow for tax-sheltered wealth building far in excess of standard 401k/403b plan limits, but they are not without certain drawbacks and limitations.

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