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WHAT IS AN
Executive Bonus Plan?
An Executive Bonus Plan is a strategy that allows you to offer powerful financial perks to your key employees by using life insurance in a way that’s both tax-efficient and highly motivating.
Here’s how it works:
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You, the business owner, take out a life insurance policy on your key team members.
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Your business pays the premiums—often $10,000/year or more.
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These payments are treated as bonuses—which means they’re tax-deductible for you.
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Your employees own their policies and can build cash value over time, which they can later use for retirement, buying a home, or other goals.
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Their families are also protected with a tax-free death benefit.
It’s a win-win: You retain top talent, offer long-term value, and reduce turnover—without giving away equity or draining cash flow.
Let’s Build a Legacy Strategy for Your Business
Whether you run a marketing agency, real estate team, law firm, or construction business—if you're serious about building a powerhouse team, this is your next step.
Need a Custom Plan? Let’s Talk.
We’ll work with your accountant or CFO to make sure your bonus strategy makes sense for your structure, cash flow, and goals.
Have questions? Want to explore more business-friendly strategies?
Let’s make a plan that’s as vibrant as your vision.