New Split Dollar Resources

Do you have any clients looking for an incentive to retain and reward select employees? 

Split dollar2 cases are split dollar arrangements, usually made between an employer and employee, share the premium cost and benefits of a life insurance policy. View our new materials to learn more. 

2. Under an economic split dollar arrangement, the value of the life insurance afforded the employee is taxable to the employee. The employer should provide the employee with tax reporting based on requirements specified in the tax code. The parties to the economic split-dollar arrangement should seek their own independent legal and tax advice as to whether and how to enter into an economic split-dollar arrangement based on the employer’s and employee’s unique circumstances. Under an economic split-dollar arrangement, the employee enters into an agreement with the employer. North American Company for Life and Health Insurance are not a party to this agreement and North American’s only obligation is to administer the policy it issues. (consistent with the policy’s terms and conditions).