One of the objectives of nonqualified plans is restoration.(Defining Nonqualified Deferred Compensation Plans (NQDC))

Question

Quizplus · Accepted Answer

Restoration is one of the primary objectives of nonqualified deferred compensation plans, as they allow executives and employees to defer a portion of their income and receive it at a later date, typically in retirement. This deferred compensation can then be used to "restore" the individual's retirement income to a level that is closer to their pre-retirement level of compensation.

One of the Objectives of Nonqualified Plans Is Restoration