Compensation Planning
Services Overview
Salary and annual incentives
Cornerstone’s compensation planning process analyzes several factors, and begins
with asking you the following questions:
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What is your current salary structure and how is it determined?
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Is there some form of incentive compensation and for whom?
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How is the bonus determined?
- Discretionary
- Formula driven
- Based on overall company performance
- Based on individual performance
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*The most progressive companies have bonus plans that are fully integrated with
corporate profitability and growth objectives.
Qualified retirement plans
Cornerstone works with all forms of qualified retirement plans including
401(k), 403(b), 457, ESOPs, Defined Contribution and Defined Benefit plans. The
appropriateness of a plan or combination of plans for a company is determined through
the following process:
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Determine corporate objectives with respect to retirement planning. |
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Review effectiveness of current plan(s) based on the above objectives.
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Evaluate the marketplace for appropriate products.
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Once the products are selected:
- Communicate the plan to employees in a way they will understand.
- On an ongoing basis, review the plan’s performance.
- Serve as the interface between the product sponsor and the third party administrator.
- Educate plan participants on the importance of saving for retirement.
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For larger plans, Cornerstone is often hired as a plan fiduciary and/or an investment
manager.
Key-executive compensation and long-term incentives
One of the greatest challenges our clients face is how to attract and retain
key employees, particularly in this competitive labor market. The most talented
people will be looking for competitive total compensation packages.
Cornerstone works with our clients to design, fund, administer and communicate all
forms of non-qualified and key-executive compensation plans with the goals of rewarding
long-term performance and reducing turnover:
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Supplemental non-qualified retirement plans (SERPs)
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Voluntary deferral plans including 401(k) mirror plans
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Split-dollar insurance plans
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Performance-based plans |
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Stock options, both qualified and non-qualified
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Phantom stock plans
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Protection benefits
Properly designed insurance plans provide meaningful benefits that support
your benefit philosophy within budget parameters. Cornerstone, through several strategic
alliances, provides all forms of health and welfare benefits plans to meet the needs
of your company.
In the disability field, we have access to proprietary and specially designed products
that can provide the highest level of guaranteed issue coverage in the industry,
as well as insure the value of retirement plan contributions and stock options.
Long-term care insurance is an emerging need for many of our clients. Cornerstone
can design both group and individual programs for our clients, regardless of their
income or net worth.
Benefits management and administration
For companies with 250 or more employees Cornerstone, through a strategic
alliance, can provide you with a state-of-the-art benefits management and administrative
system customized to the needs of your company. Some of the highlights of this system
include:
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A personalized, consolidated enrollment form and confirmation statement for all
employees, for all core benefits. This largely eliminates the need to complete forms
for each different provider.
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Enrollment via fax, voice or Internet technology.
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A unified bill, with a line-item breakdown, which allows you to write one check
for the total of all benefits.
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The ability to allocate cost by business, location or division — for internal accounting
and cost allocation.
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Electronic interface with benefits providers to efficiently manage data and census
changes.
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