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1 . Could a taxpayer contributing to a traditional 4 0 1 ( k ) plan earn an after - tax return greater than the

1. Could a taxpayer contributing to a traditional 401(k) plan earn an after-tax return greater than the before-tax return? Explain. 2. Explain the nontax similarities and differences between qualified defined contribution plans and nonqualified deferred compensation plans from an employers perspective. 3. From a tax perspective, what issues does an employee need to consider in deciding whether to defer compensation under a nonqualified deferred compensation plan or to receive it immediately? 4. From a nontax perspective, what issues does an employee need to consider in deciding whether to defer compensation under a nonqualified deferred compensation plan or to receive it immediately?

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