Course Information

Course No:  9271122

Course Name:  Employee Compensation and Benefits

Field of Study:    Tax Law Topic

Course Description:  

The various ideas, methods, and techniques to optimize the overall compensation package for key employees and principals are examined in this mini-course. Generally, businesses may deduct employee’s pay including wages, salaries, and other perks. Certain fringe benefits that can provide an unusually tax-favored manner of supplementing compensation are described and evaluated. In addition, equity participation is explored through stock sales, repurchase agreements, incentive stock options, ESOT’s, stock options, and bonuses. Finally, deferred compensation arrangements are investigated. The goal of this mini-course is to provide participants with a working knowledge of the types of compensation necessary to structure a compensation package minimizing tax liabilities and cost.

Learning objectives: After completing this section, you should be able to:

  • Identify the common-law rules used by the IRS to determine whether a person is an employee for purposes of FICA, FUTA and federal income tax withholding.
  • Recognize employee and officer compensation deductibility factors and the related employment taxes and reporting obligations to ensure com-pliance with regulations.
  • Identify fringe benefits specifying those that provide deductible incentive-based employee compensation.
  • Specify the equity incentive opportunities available to employers show-ing the variety, tax treatment, and use of stock plans.
  • Recognize the use of deferred compensation agreements to attain com-pensation and retirement objectives.

Course Material: Online Material

Program level: Overview

Prerequisites: General understanding of federal income taxation.

Advance preparation: None

Type of delivery method: QAS Self-study

Recommended CPE credits:   3.5

Final examination expiration date:   The program participant will have one year from the date of purchase to complete the course and final examination.