MGMT 127A Chapter 19: Chapter 19 Notes
Document Summary
**note that these notes only include information relevant to this class** 19. 1 qualified pension, profit sharing, stock bonus, and cash balance plans. Qualified plans are plans that meet certain requirements. The main requirement is usually that a plan not discriminate in favor of highly compensated employees. There are four main groups of plans: These are deferred compensation arrangement that provides for systematic payments o of definitely determinable retirement benefits to employees who meet the requirements set forth in the plan o o. Employer contributions under a qualified pension plan must not depend on profits. Profit sharing plans: a profit sharing plan is a deferred compensation arrangement established and maintained by an employer to provide for employee participation in the company"s profits. Contributions are paid from the employer to a trustee and are commingled in a single o trust fund. The employer establishes and maintains the plan to contribute shares of its stock o.
