Guest rkrall Posted October 4, 2005 Posted October 4, 2005 Is there any guidance, other than Reg. §1.457-11© (stating that the amount includible in income is the present value of the compensation), that assist in determining how to calculate present value? I have a client with an executive participant in a 457(f) plan that is entitled to a monthly annuity for life with a period certain feature. The substantial risk of forfeiture has lifted and the present value of the benefit is now taxable. The deferred comp. agreement does not specify any interest rate or method of calculation. Is there any statutory, regulatory or other guidance on how to value the annuity taking into account the period certain feature? Or, am I left to rely on a reasonable method? Thank you.
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