Executive & Director Benefit Plans

Your Executives and Directors work hard. They deserve to play hard.

That's where we come in. We understand what it takes to keep your key players motivated.

After thorough analysis of your bank's needs, we will develop plans that fit your goals – a customized BFS-designed plan.

Types of plans include:

Supplemental Retirement Plans (SERPs):

Due to caps on qualified retirement plan contributions and benefits, as well as Social Security, most top executives will receive lower retirement benefits, as a percentage of compensation, compared to lower-paid employees of the bank. Typically, lower-paid employees will retire at 60-80% of final pay from qualified plans and SS, while top executives are limited to 30-50% of final pay.

Both DB and DC SERPs are designed to “reverse the discrimination” – providing benefits, service and protection for your top executives in the event of retirement, death, disability, or change of control.

Incentive Retirement Plans:

This type of defined contribution retirement plan allows a bank to reward their top executives based on the performance of the bank. Typical performance benchmarks include net income, ROA and ROE. Customized features such as, annual award % and vesting, make an incentive retirement plan an ideal benefit to attract, retain and reward the key drivers of success of a financial institution.

Deferred Compensation Plans:

Deferred compensation provides each executive or director with the option to defer some or all of his/her retainer and meeting fee (tax deferred) to be paid in a lump sum or annuity at retirement from the board or other future date. This plan offers a benefit equal to a percentage of final board fees, paid for a specified number of years after retirement from the board.



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Analysis Benefit Plans Financing Strategies Regulatory Compliance & Administration	Executive & Director Benefit Plans Your Executives and Directors work hard. They deserve to play hard. That's where we come in. We understand what it takes to keep your key players motivated. After thorough analysis of your bank's needs, we will develop plans that fit your goals – a customized BFS-designed plan. Types of plans include: Supplemental Retirement Plans (SERPs): Due to caps on qualified retirement plan contributions and benefits, as well as Social Security, most top executives will receive lower retirement benefits, as a percentage of compensation, compared to lower-paid employees of the bank. Typically, lower-paid employees will retire at 60-80% of final pay from qualified plans and SS, while top executives are limited to 30-50% of final pay. Both DB and DC SERPs are designed to “reverse the discrimination” – providing benefits, service and protection for your top executives in the event of retirement, death, disability, or change of control. Incentive Retirement Plans: This type of defined contribution retirement plan allows a bank to reward their top executives based on the performance of the bank. Typical performance benchmarks include net income, ROA and ROE. Customized features such as, annual award % and vesting, make an incentive retirement plan an ideal benefit to attract, retain and reward the key drivers of success of a financial institution. Deferred Compensation Plans: Deferred compensation provides each executive or director with the option to defer some or all of his/her retainer and meeting fee (tax deferred) to be paid in a lump sum or annuity at retirement from the board or other future date. This plan offers a benefit equal to a percentage of final board fees, paid for a specified number of years after retirement from the board.