success-outcome

Success Outcome

 

The CEO of a healthcare provider wished to reward key executives whose hard work and dedication have brought success to the organization—with the caveat that the benefit had to be both quantifiable and flexible. SilverStone Group’s Executive Benefits Division began by analyzing the benefits currently available to executives and comparing them to industry norms.  The study pinpointed areas where benefits could be enhanced. Taking into account the required objectives of the CEO, it was recommended that the organization offer a deferred compensation plan to its key executives, whereby the organization contributes to the plan based on the prior year’s performance, with the CEO retaining the ability to adjust the level of contribution made. The plan also allows executives to defer compensation above the qualified plan maximums, to set aside personal savings for retirement and defer income taxation.

SilverStone Group provides quarterly statements to the key executives, allowing them to plan for retirement and work toward their personal goals and those of the organization. We also helped them analyze methods to finance the plan on a tax-efficient basis. Based upon our analysis, this organization decided to purchase corporate-owned life insurance to finance the cost of the benefits. We assisted them in designing and placing the insurance. In addition, a supplemental disability plan designed specifically to enhance their group long-term disability plan was implemented for the key executives. The result was a greatly enhanced benefits program that met the CEO’s criteria and ensured a healthy incentive plan to reward and retain valuable executives for this organization.