Deferred Compensation Plan for Outside Directors | USA
Set up a Deferred Compensation Plan for outside directors with this downloadable template for USA companies.
This customizable template is designed specifically for companies in the United States seeking to establish a compensation arrangement for outside directors.
Eligibility
Only directors who are not employees or managers of the company or any of its subsidiaries are eligible to participate in the Plan.
Deferral of Compensation
Under this plan, eligible non-employee directors may elect to defer the receipt of any compensation that would otherwise be paid to them for their service as directors. The deferral option is for income tax purposes.
Investment Options
Participants have the flexibility to choose how their deferred compensation is managed. They may elect to have the deferred amounts invested in shares of the company's common stock or allow the funds to accumulate and earn interest over time.
Customization
This template is customizable, enabling companies to tailor the plan to meet their specific requirements and preferences.
Intended Use
The Deferred Compensation Plan template is intended exclusively for use by companies operating within the United States.
USA Retirement Plan for Outside Directors
Set up a retirement plan for outside directors of a U.S. company with this downloadable and customizable template.
- The Plan provides the directors with retirement income through the redemption of a retiring Director's stock holdings.
- Outside Directors are compensated based on the performance of the company's Common Stock.
- Accrued income is payable when a director reaches a specified age.
- Performance Periods start on the first day of each fiscal year, beginning on the date that Performance Shares are granted to the director.
