In business, you need to motivate and reward your best employees to remain successful. In addition to a competitive salary, you need to find creative, cost-effective benefit solutions that enhance your “benefits package” and meet the special needs of your employees.

A dynamic, yet simple concept – a bonus plan.

A key employee owns a permanent life insurance policy and names the beneficiary. Your business pays some or all of the annual premiums that are tax deductible. These same premiums are reported as taxable income by your key employees.

The administration of a bonus plan is as simple as it gets! No special trust or plan documents are ordinarily required. For an incorporated business, a corporate resolution establishes the bonus plan as part of your compensation and benefits program.

Choice – You decide which of your key employees participate in the plan and their level of benefits.

Controllable Costs – The business determines its annual premium outlay.

Flexibility – The plan can be increased, cut back, or terminated to adjust to the changing needs of your business.

Administrative Ease – There are minimal administrative burdens under a bonus plan. As a non-qualified plan, IRS approval is not required.

Ownership – The employee has complete ownership of the policy and its benefits.

Cash Values – Policy cash values can supplement the retirement of lifetime needs of your key employees.

Death Benefits – The policy provides an immediate income tax free death benefit payable to the employee’s beneficiary.

Portability – If your employee leaves the company, the employee can keep the policy at his or her expense.