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The first year of employer disclosures made under the new U.S. Securities Exchange Commission disclosure rules for executive compensation reveals an approximate threefold increase in the value of executive perks. Under the new rules, employers must disclose perks totaling $10,000 or more; previously, the disclosure threshold was $50,000. This causes concern for executives as many […]
The federal Fair Labor Standards Act (FLSA) and California law exempt certain administrative employees from overtime; the requirements for the administrative exemption under California law are stricter than the FLSA. To qualify for this exemption in California, an employee must: 1) earn a salary equal to at least twice the state minimum wage; 2) perform […]
Section 403(b) of the Internal Revenue Code is undergoing its most significant changes in decades. The IRS has issued final regulations for retirement plans governed by Section 403(b) and maintained by nonprofit and tax-exempt organizations and public schools for their employees’ benefit. The plans may be funded through annuity contracts issued by an insurance company, […]
Internal Revenue Code Section 409A regulates deferred compensation plans and other arrangements, including severance plans, annual bonus payments, long-term incentive arrangements, stay bonuses, and settlement agreements upon termination. Section 409A rules govern compensation that was deferred or became vested after Jan. 1, 2005. Because employers have faced many difficulties trying to comply with these rules, […]