Business Preservation Planning | REBA

A Restricted Endorsement Bonus Arrangement (REBA) is a type of executive compensation plan that provides key employees with a bonus that is tied to the performance of the company. The bonus is paid in the form of a life insurance policy that is owned by the employee. The employee can access the cash value of the policy through loans or withdrawals.

A Restricted Endorsement Bonus Arrangement (REBA) is often used by employers to provide key employees with a bonus that is tied to the performance of the company. It is also used to provide a way for an employer to recover the cost of premiums paid on behalf of an employee.