Demystifying IRS Deferred Compensation Rules: Five Things You Must Know About Code Section 409A
Since its effective date in 2005, Code Section 409A has wreaked havoc on benefit plan sponsors and employees with deferred compensation. Section 409A touches many areas other than executive benefits, including severance, annual bonus and incentive compensation, and expense reimbursements. The session will present five common situations that regularly come up for HR and benefits professionals that have significant 409A implications. This session will help you learn:
- The basics of federal regulation of deferred compensation under Code Section 409A and how to spot a 409A issue.
- Which types of arrangements trigger Section 409A and what restrictions may apply.
- Strategies for 409A compliance and avoidance.
- How to correct and remedy 409A violations in the event they occur or potentially could occur.
Todd A. Solomon
Todd Solomon is a partner in and Chicago local practice group leader of the employee benefits practice group of McDermott Will & Emery LLP in its Chicago office. Todd focuses his practice primarily on designing, amending, and administering pension plans, 401(k) plans, employee stock ownership plans, 403(b) plans, and nonqualified deferred compensation arrangements. He also counsels corporations and tax-exempt entities regarding fiduciary and plan investment issues under ERISA, employee benefits issues involved in corporate transactions, executive compensation and Code Section 409A compliance and correction matters, and the implementation of benefit programs for domestic partners.