(800) 627 3697 info.eri@erieri.com
Course Number:12
Category:Executive Compensation
Field of Study:Taxes
Audience:HR Managers, HR Generalists
Level of Difficulty:Advanced
Delivery Method:QAS Self Study
Prerequisites: Some college level courses with moderate algebraic training
Advanced Preparation:None
SHRM BoCK:SHRM BoCK: As defined by the SHRM Body of Competency and Knowledge TM, this self-study course covers competency topics related to Business Acumen and Critical Evaluation with the knowledge areas being Total Rewards and U.S. Employment Law and Regulations.
OverviewThis taxation course reviews the U.S. Internal Revenue Service (IRS) federal income tax standards for reasonable compensation of stockholder-employees in closely held corporations. Reasonable compensation challenges result from the IRS suspicion that stockholder-employees have paid themselves so as to improperly reduce their taxes through underpayment or overpayment of compensation, depending on the type of corporation. This course looks at IRS reasonable compensation standards as applied to the following: a sole proprietorship, partnership, small business, limited liability company, subchapter S corporation, C corporation, and tax-exempt nonprofit organization. We teach reasonable compensation analyses based upon executive compensation salary surveys, proxies, and IRS form 990’s.
Learning Objectives:
  • Identify how the IRS determines reasonable compensation
  • Determine the effect of incorporation choices on tax structures for executive compensation packages
  • Recognize the causes of compensation variance and the arguments that may be made for extraordinary compensation
  • Identify the company and personal federal income tax deductions that may be taken for stockholder required employee benefits and fringe benefits
  • Determine a maximum reasonable compensation estimate by job, industry, organization size, and location
  • Recognize business valuation strategies
Credit & Professional Continuing
Education Information:
  • SHRM-CP/SHRM-SCP Credit Information:

    ERI Distance Learning Center is recognized by SHRM to offer Professional Development Credits (PDCs) for the SHRM-CPSM or SHRM-SCPSM. This program is valid for 1.5 PDCs for the SHRM-CPSM or SHRM-SCPSM. For more information about certification or recertification, please visit www.shrmcertification.org.

    SHRM Preferred Provider
  • aPHR/PHR/SPHR/GPHR Credit Information:

    ERI Distance Learning Center is a recognized provider of recertification credits. HR Certification Institute® (HRCI®) pre-approved this program for 1.5 HR (General) credit hour(s) towards aPHR, PHR®, SPHR®, and GPHR® recertification.

    HRCI Approved Provider
    The use of this seal confirms that this activity has met HR Certification Institute’s® (HRCI®) criteria for recertification credit pre-approval.
  • CCP/CBP/GRP/WLCP Credit Information:

    This online course qualifies for recertification credit for the Certified Compensation Professional (CCP®), Certified Benefits Professional® (CBP), Global Remuneration Professional (GRP®), and Work-Life Certified Professional (WLCP®) designations granted by WorldatWork Society of Certified Professionals. For more information on recertification, visit the Society website at www.worldatworksociety.org.

  • CPE QAS Self Study Credit Information:

    National Registry QAS Self Study - Course approved for 1.5 credit(s) in these states:

    Alabama, Alaska, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Guam, Hawaii, Idaho, Illinois, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, West Virginia, Wyoming

    Course approved for 1 credit(s) in Vermont

Additional Information:
*The Course Credit List displays credits and credit types offered by location.

The ERI Distance Learning Center is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: https://www.nasbaregistry.org/