Lucky you. You negotiated a satisfactory SERP (Supplemental Executive Retirement Plan) or maybe it was a 457F bonus package.
Just one problem: Ballooning prices in today’s economy coupled with the fast paced growth many credit unions have experienced in the past five years probably have rendered those plans as woefully too small.
Remember, the standard goal of much retirement planning is to give the retired executive an income equal to about 65% of his/her last three years’ income.
Plans that fall well shy of that mark make for unhappy retirees.
Such plans - if offered in a package to help hire new c-suite executives - will likely fall significantly short of offers from other suitors.
Are you stuck with that outdated plan? In this episode of Money Talks, Kirk Kordeleski, past CEO of Bethpage Credit Union, one of the nation’s biggest, and now a consultant specializing in retirement plans with OM Financial.
Want to know more about SERPs - or other matters raised in this podcast? Email Kordeleski Kkordeleski@om-financial.com
This show is in a Money Talks series where credit union compensation is untangled. This show will help some executives negotiate better pay packages and will also help some board members understand the ways in which 2022 credit union compensation is utterly different from 1992 comp plans, even 2012 plans because now competition for talent is so much fiercer.
Hear episode one in Money Talks here. Episode 2 is here. Episode 3 is here. Episode 4 is here. Episode 5 is here. Episode 6 is here.
Have suggestions for topics to explore in this show? Email me, Robert McGarvey - rjmcgarvey@gmail