Recruiting, retaining and motivating vital employees is a constant concern for businesses regardless of the economic and regulatory climate. For business owners and human resource professionals, hiring and retaining quality employees has always been a top priority. The challenge remains as to how to reward key hires in a way that aligns well with the company’s long-term strategic goals.
In this video, Principal John Gagnon discusses the differences between defined benefit and defined contribution when it comes to SERP design and highlights the impact rate changes are having of these design options.
As interest rates increase, discount rates increase and these rate increases could have a major effect on what a SERP participant’s lump sum benefit will be. In this video, Principal John Gagnon addresses the impact rising interest rates are having on lump sum payouts and offers ways to adjust so that you’re not essentially encouraging an executive to retire early.