For your nonqualified deferred compensation to be an effective form of saving and investing, you and your company's NQDC plan must comply with Section 409A of the Internal Revenue Code (referred to below as 409A). Failure to meet these requirements will lead to immediate taxation plus heavy penalties. This article delves into the details of 409A that you need to know.

On June 21, 2016, the IRS issued proposed regulations that modify and clarify various parts of the final Section 409A regulations and the proposed income-inclusion regulations. In the view of experts, these proposals…

The rules of Section 409A allow the forfeiture of NQDC plan benefits as long as no…