Benefit Programs

Employee Benefit Programs

In addition to a competitive salary, an employee benefits package is a standard, expected part of an employee’s total compensation package. The majority of large companies, and virtually all public sector government employers, provide extensive employee benefits packages. In contrast, smaller employers tend to offer fewer to no benefits.

Expanding small businesses need to plan a careful incorporation of employee benefits so that they can continue to attract and retain talent for further growth. Employers can improve their employee benefits package as resources allow. They can also customize a package geared to the needs and desires of their employees.

The standard offerings that should be included are:

  • Health Insurance

  • Paid Time Off

  • Short-Term Disability Insurance

  • Long-Term Disability Insurance

  • Dental Insurance

  • Vision Insurance

  • Life Insurance

  • 401(k) or Other Retirement Plan

  • Health Care Flexible Spending Accounts (FSA)

Executive Benefit Programs

Executive benefit plans are designed for key employees, executives, and management. There are many different types of executive benefit plans; each comes with a unique method or approach for rewarding an executive, depending on the business owner’s goals and objectives. Employers can design them to exclusively benefit one executive or a select group of employees.

The most common types of executive benefits plans include:

  • Non-qualified Deferred Compensation (NDQC) Plans

  • Supplemental Executive Retirement Plans (SERPs)

  • Phantom Stock and Performance Plans

  • Executive Bonus Plans

  • Stock Option Plans

  • Supplemental and Extraordinary Life and Disability Insurance

  • Split-Dollar Plans

There are many technical elements involved in designing, implementing, and maintaining an executive benefit plan for a company. One important consideration is which category of business it falls under: C corporation, S corporation, or limited liability corporation (LLC) – among other types.

It’s also crucial to understand the implications of an executive benefit plan for a specific type of business structure — this leads to the tax implications of a plan on the employee(s) versus the company versus the owner. What are the legal considerations, and how will the plan be documented? 

Let Stonehenge Consulting help design the best plan for your team.