A staff incentive scheme, also known as preferred compensation, is a policy designed to provide your staff who have special skills, training or experience, and whom you wish to retain, with a cash benefit before retirement.
- Proceeds are paid to employees after five years
- An endowment policy or a unit trust investment can be used
- An agreement is drawn up between the employer and employee.
- Contributions are tax deductible
- Ensures loyal and dedicated staff
- Control is retained due to cession of the policy
- A flexible negotiating tool.