Which of the following is true concerning employer funding of nonqualified deferred compensation plans?
A) Employers annually deduct the amount earned by employees under the plan.
B) Employers may discriminate in terms of who they allow to participate in the plan.
C) Employers are required to annually fund their deferred compensation obligations to employees.
D) Employers are required to invest salary deferred by employees in investments specified by the employees.

Question

Quizplus · Accepted Answer

Employers may choose to allow only certain employees to participate in their nonqualified deferred compensation plan, unlike qualified plans where most employees must be allowed to participate.

Which of the Following Is True Concerning Employer Funding of Nonqualified