Add tag in the Deferred Compensation Plan

Aug 6th, 2022
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How to add tag in the Deferred Compensation Plan

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for me it like I said it makes me a little nervous um because I think about retirement now being you know a a um a public servant sure your your latter years of life look different financially where you have to create what that looks like have you thought about what life youre in your 20s have you thought about what life looks like financially in your 50s and 60s yeah like the retirement plan right so you know yall say rapper and producer podcast producer I am that but I feel like my my best GID is the real estate yeah I forgot that you know so I bought a house off hustling off my gigs and now I rent out rooms in my house and Im saving up that money so that I can renovate my shed and turn that into another house eventually buy another house you know so thats where I really see this going um real estate is where its really I see a lot of income for me and but even thats scary me and my mom were just talking about it Im like well what if nobody you know people are broke times hard

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Under such an arrangement, an employee postpones receiving salary and wages to a later year. Treat the deferred salary and wages as employment income in the year the employee earns the amount. Report it on the employees T4 slip for that year.
The term compensated absences commonly describes paid time off made available to employees in connection with vacation leave, sick leave, and comparable types of compensated absences (such as personal leave, holiday leave).
Under the ASC 710-10 methodology, most companies expense the entire employer notional contribution and recognize forfeitures as they occur, whereas ASC 715-30 would generally require a turnover assumption to reflect anticipated forfeitures in the benefit liability.
Investing your deferred compensation Your plan might offer you several options for the benchmarkoften, major stock and bond indexes, the 10-year US Treasury note, the companys stock price, or the mutual fund choices in the company 401(k) plan.
ASC 710 requires an employer to accrue a liability for employees compensation for future absences if all of the following conditions are met: the right vests or accumulates, payment of the compensation is probable, and the amount of the payment can be reasonably estimated.
ASC 710-10-30 requires the accrual of an employers obligation under an individual deferred compensation contract in ance with the terms of the contract, such that the present value of the obligation is fully accrued at the date the employee attains full eligibility for the benefits.
The liability of compensated absences is measured at its estimated cost of the absences to the company. The calculation is a function of the number of vested or accumulated unused days at year-end and the wage of the employee. The accounting standards do not stipulate whether current or future wages should be used.

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