Findings from the Nonqualified Retirement Benefit Survey
| Ranked 1 | Ranked 2 | Ranked 3 | |
|---|---|---|---|
| Attraction/Retention of key talent | 37% | 25% | 22% |
| Have a competitive benefit package | 20% | 41% | 23% |
| Provide avenue for eligible employees to accumulate wealth (in addition to qualified plan[s]) | 27% | 19% | 28% |
55% of sponsors have changed or plan to make changes to their NQDB plan
Improve participant experience (e.g., communication, education)
Change administration providers
Close plan to new entrants
Freeze accruals
75% of sponsors have changed or plan to make changes to their NQDC plan
Improve participant experience (e.g., communication, education)
Change investment menu
Change eligibility
Change administration providers
Sponsors plan to improve communication and education to maximize the value and employees’ understanding of their plans, particularly NQDC plans.
| Communication | Education | Financial consulting | |
|---|---|---|---|
| NQDB plan sponsors | 29% | 29% | 16% |
| NQDC plan sponsors | 52% | 47% | 28% |
60% of NQDC and 47% of NQDB plan sponsors informally fund their plan
| NQDB | NQDC | |
|---|---|---|
| Source of cash for participants’ distribution | 69% | 63% |
| Perceived benefit for participants | 54% | 58% |
| Mitigate market volatility | 48% | 52% |
| NQDB | NQDC | |
|---|---|---|
| Mutual funds | 43% | 60% |
| COLI | 33% | 27% |
| Title | File Type | File Size |
|---|---|---|
| Nonqualified retirement sponsors focus on employee experience and mitigating risk | .1 MB |
