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Ownership Culture Committee

  
  
  
While upper management is heavily involved in the task of communicating your ESOP, one best practice for gaining greater employee buy-in is to include employee representatives from various parts of your organization in the communications process. An effective way to obtain broad representation is to establish an ESOP Communications Committee. This type of committee usually functions in an advisory capacity and does not have any formal authority or fiduciary responsibility. Starting Over in Lexington: Taking Ownership discusses how one company implemented an ownership culture committee:

While his associates have increasingly used their weekly huddles to educate themselves on what's involved in the company ESOP, Rob also created what we at SRC call an "ownership culture committee," a team made up of four associates from different levels within the company. The goal of the committee is to serve as an intermediary between management and the associates on the plant floor. To help in that effort, all of the members will receive additional training from our team back in Springfield. And one of their first tasks will be to read through the comments their co-workers made during the survey and find ways to make improvements based on those comments.

The article also includes commentary from each of the committee members.

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2012 IRS Pension Plan Limits

401(k) Deferral Limit - $17,000

Annual Additions Limit - $50,000

Maximum Compensation Limit - $250,000

Catch-Up Contribution Limit - $5,500

Highly Compensated Employee - $115,000

ESOP 5-Year Distribution Threshold - $1,015,000

ESOP Additional Year Threshold - $200,000

2012 Pension Plan Limits

1989 - 2012 Plan Limits