Do you have an ESOP distribution policy? If your ESOP has ever paid a distribution, you have adopted some form of distribution policy and established a precedent. But developing a written policy is a best practice that helps you demonstrate that you are operating your ESOP distribution policy in a nondiscriminatory manner – and gives you the flexibility to modify the distribution policy in the future.
Our eBook, "ESOP Distribution Policy," discusses the timing, form and method.
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