They leave because someone offered more. An executive bonus plan makes walking away cost them — not just you.
The offer is coming. It's not about salary — it's about what you can offer that no one else can.
An executive bonus plan gives them a wealth-building asset. You keep ownership. They stay.
A bonus they can't take with them for 5–10 years. That's retention. Everything else is hope.
One call. 15 minutes. You leave with a clear picture — whether you work with us or not.
The policy behind the bonus plan — fully underwritten, no medical exam, in place this week.
An executive bonus plan is only as good as the retention structure around it. We build both.
Results may vary. Individual coverage depends on health, age, and underwriting.
Select the key employees you want to retain and reward — no discrimination testing required.
Your company pays the premium as a tax-deductible bonus. The executive owns the policy.
Add a REBA to ensure they stay. They get a wealth-building asset; you get loyalty.
An executive bonus plan (Section 162 plan) is an arrangement where a business pays life insurance premiums on behalf of a key employee as a bonus. The executive owns the policy personally, and the business deducts the premium as a compensation expense. It provides permanent life insurance with cash value accumulation as a benefit to retain top talent.
Yes. The premiums paid by the company are tax-deductible as a business expense under IRC Section 162, just like salary or any other form of compensation. The executive must report the bonus as income, but the tax cost is often offset by the value of the life insurance benefit and cash value growth.
A REBA — sometimes called golden handcuffs — adds a restriction to the executive bonus plan. The employer places an endorsement on the policy that restricts the executive from surrendering or borrowing against the cash value for a specified period. This creates a retention incentive — the executive only gets full access to the cash value after a vesting period.
Yes. Unlike qualified retirement plans (401k, pension), executive bonus plans do not have to be offered to all employees. They are non-qualified, which means the employer can selectively offer them to specific key employees. This is one of the primary advantages — you can reward your best people without increasing benefits costs for your entire workforce.
In a standard Section 162 plan, the executive owns the policy and takes it with them — it is fully portable. If a REBA (restricted endorsement) is in place, the executive may forfeit access to the cash value if they leave before the vesting period ends. The policy itself still belongs to the executive, but the restriction incentivizes them to stay.
Whether you're looking for coverage or looking to build something meaningful — we're here.
Choose a time that works for you — no obligation, no pressure.
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