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Deferred Compensation Agreement Form
"I need a Deferred Compensation Agreement Form for our Toronto-based technology company, covering stock options and annual bonus deferrals for our senior executives, with vesting periods of 3-5 years and specific provisions for international tax implications as some executives work remotely from the US."
1. Parties: Identification of the employer and employee entering into the agreement
2. Background: Context of the agreement, employment relationship, and purpose of the deferred compensation arrangement
3. Definitions: Definitions of key terms used throughout the agreement, including Deferred Compensation, Compensation Committee, Triggering Events, etc.
4. Amount of Deferred Compensation: Specification of the amount or percentage of compensation to be deferred
5. Deferral Election: Process and timing for making deferral elections, including any modification provisions
6. Vesting Provisions: Terms and conditions under which the deferred compensation becomes vested
7. Distribution of Benefits: Timing and form of payment of the deferred compensation
8. Funding and Trust Provisions: Description of how the deferred compensation will be funded and held
9. Administration: Details about who administers the plan and their powers and duties
10. Claims Procedures: Process for making claims and resolving disputes
11. Amendment and Termination: Provisions for modifying or terminating the agreement
12. General Provisions: Standard legal provisions including governing law, notices, and entire agreement
1. Investment Options: Section detailing available investment choices for deferred amounts, used when the agreement allows participant-directed investments
2. Change in Control Provisions: Special provisions triggered by a change in control of the employer, included for senior executives
3. Non-Competition and Confidentiality: Restrictive covenants, typically included for senior management agreements
4. Tax Gross-Up Provisions: Provisions for employer payment of additional taxes, included in executive agreements
5. International Tax Provisions: Special provisions for cross-border employees or international tax implications
6. Disability Provisions: Special provisions for distribution or continued deferral in case of disability
7. Death Benefits: Provisions for beneficiary designations and payment upon death
1. Schedule A - Deferral Election Form: Standard form for making initial and subsequent deferral elections
2. Schedule B - Payment Election Form: Form specifying the timing and method of distribution
3. Schedule C - Investment Options: Detailed list of available investment options and their terms
4. Schedule D - Beneficiary Designation Form: Form for designating beneficiaries for death benefits
5. Schedule E - Calculation Methodology: Detailed explanation of how deferred amounts and earnings are calculated
6. Appendix 1 - Tax Considerations: Summary of relevant tax implications and considerations
7. Appendix 2 - Administrative Procedures: Detailed procedures for administration of the deferred compensation arrangement
Authors
Financial Services
Technology
Professional Services
Healthcare
Manufacturing
Energy
Telecommunications
Mining
Real Estate
Consulting
Pharmaceuticals
Consumer Goods
Human Resources
Legal
Finance
Executive Management
Compensation & Benefits
Tax
Corporate Governance
Payroll
Risk Management
Chief Executive Officer
Chief Financial Officer
Chief Operating Officer
Executive Director
Senior Vice President
Vice President
Director
Senior Manager
Department Head
Regional Manager
Partner
Principal
Senior Consultant
Key Account Manager
Senior Sales Executive
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