Key Employee Incentive Programs

Motivating Your Key Players for Success

The success of your business most likely depends on a small group of key employees. Retaining them is vitally important. Key employee incentive programs are a type of compensation and benefits package offered by companies to their key employees, who are considered critical to the success of the organization. These programs are designed to motivate and retain these employees by offering them rewards and incentives that are tied to specific performance goals or milestones. Some examples of these incentives are:

• Stock options
• Incentive and deferred compensation
• Arranging equity participation
• Supplemental executive retirement plans
• Golden parachutes and golden parachute tax

The specific design of a key employee incentive program will vary depending on the company’s goals and the specific roles and responsibilities of its key employees. However, the overall goal of these programs is to reward and retain key employees, and to align their goals with those of the company. If you are interested in any of the key employee incentive programs above, the CF Financial team may be able to assist.