Arizona Deferred Compensation Investment Account Plan

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-146
• Format: Word; Rich Text

Description

20-146 20-146 . . . Deferred Compensation Investment Account Plan under which Board of Directors of Savings and Loan Association allocates a portion of annual bonuses which would otherwise be paid to selected officers and employees to a separate account. The deferred compensation in such account is deemed, for purposes of Plan only, to represent specified percentages of Association's investments in certain portfolios of equity securities, and it is increased or decreased to same extent as performance of such securities The Arizona Deferred Compensation Investment Account Plan, also known as the Arizona DC Plan, is a valuable retirement savings option available to employees in the state of Arizona. This plan is designed to help employees save and invest for their future retirement needs while enjoying various tax advantages. The Arizona Deferred Compensation Investment Account Plan allows employees to contribute a portion of their pre-tax earnings to a retirement account, thereby reducing their taxable income. This feature enables participants to grow their retirement savings more efficiently. Contributions made to the plan can be allocated into various investment options, including mutual funds, stocks, and bonds, tailored to the participant's risk tolerance and investment objectives. One of the key benefits of the plan is the ability to defer taxes on both contributions and earnings until a participant withdraws the funds during retirement. This tax-deferred growth provides an opportunity for individuals to accumulate more savings over time, potentially resulting in a more secure retirement future. Additionally, the Arizona Deferred Compensation Investment Account Plan offers a range of investment options to suit different preferences. Some available options may include target-date funds, which gradually reallocate investments based on the participant's expected retirement date, allowing for a more balanced and diversified portfolio. Participants can also choose from actively managed funds or index funds, each offering distinct investment strategies. Moreover, the Arizona DC Plan may include additional features such as a loan provision, which allows participants to borrow from their account balance for certain financial needs, such as education expenses or purchasing a primary residence. This flexibility can be highly beneficial during times of unforeseen financial challenges or extraordinary life events. While the Arizona Deferred Compensation Investment Account Plan is primarily focused on retirement savings, it is important to note that there may be other types of deferred compensation plans available to employees. These could include employer-provided deferred compensation plans, which may offer different contribution limits or matching contributions from the employer. Additionally, some employees may have access to plans specific to their occupation or industry, further tailoring the investment options or plan design to their specific needs. In conclusion, the Arizona Deferred Compensation Investment Account Plan is a robust retirement savings option offering employees in Arizona the opportunity to grow their savings efficiently while enjoying potential tax advantages. It provides a range of investment options, flexibility, and potential long-term growth, empowering individuals to take control of their retirement future.

The Arizona Deferred Compensation Investment Account Plan, also known as the Arizona DC Plan, is a valuable retirement savings option available to employees in the state of Arizona. This plan is designed to help employees save and invest for their future retirement needs while enjoying various tax advantages. The Arizona Deferred Compensation Investment Account Plan allows employees to contribute a portion of their pre-tax earnings to a retirement account, thereby reducing their taxable income. This feature enables participants to grow their retirement savings more efficiently. Contributions made to the plan can be allocated into various investment options, including mutual funds, stocks, and bonds, tailored to the participant's risk tolerance and investment objectives. One of the key benefits of the plan is the ability to defer taxes on both contributions and earnings until a participant withdraws the funds during retirement. This tax-deferred growth provides an opportunity for individuals to accumulate more savings over time, potentially resulting in a more secure retirement future. Additionally, the Arizona Deferred Compensation Investment Account Plan offers a range of investment options to suit different preferences. Some available options may include target-date funds, which gradually reallocate investments based on the participant's expected retirement date, allowing for a more balanced and diversified portfolio. Participants can also choose from actively managed funds or index funds, each offering distinct investment strategies. Moreover, the Arizona DC Plan may include additional features such as a loan provision, which allows participants to borrow from their account balance for certain financial needs, such as education expenses or purchasing a primary residence. This flexibility can be highly beneficial during times of unforeseen financial challenges or extraordinary life events. While the Arizona Deferred Compensation Investment Account Plan is primarily focused on retirement savings, it is important to note that there may be other types of deferred compensation plans available to employees. These could include employer-provided deferred compensation plans, which may offer different contribution limits or matching contributions from the employer. Additionally, some employees may have access to plans specific to their occupation or industry, further tailoring the investment options or plan design to their specific needs. In conclusion, the Arizona Deferred Compensation Investment Account Plan is a robust retirement savings option offering employees in Arizona the opportunity to grow their savings efficiently while enjoying potential tax advantages. It provides a range of investment options, flexibility, and potential long-term growth, empowering individuals to take control of their retirement future.