Non-Qualified Plan Rules and Options
Free CFP Exam lesson in Retirement Savings and Income Planning. 16 min read, ~2,356 words.
No contribution limits, no nondiscrimination testing, no ERISA protection: participants are unsecured creditors. Rabbi trust: assets exposed to creditors, deferral preserved. Secular trust: assets protected from creditors, taxed immediately. Section 409A: elections before the year, distributions limited to 6 events, no acceleration. Violation = 20% penalty plus interest. Non-governmental 457(b)...
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Check Your Understanding
- Exam Shortcuts
Learning objectives
- F.49
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