Annual report pursuant to Section 13 and 15(d)

Deferred Compensation Plan

v2.4.1.9
Deferred Compensation Plan
12 Months Ended
Dec. 31, 2014
Deferred Compensation Plans Disclosure [Abstract]  
Deferred Compensation Plan
Deferred Compensation Plan

Securities America has a deferred compensation plan which allowed certain members of management and qualified financial advisors to defer a portion of their compensation and commissions. Participants were able to elect various distribution options, but must be a plan participant for five years before any distributions can be made. Securities America has purchased variable life insurance contracts with cash surrender values that are designed to replicate the gains and losses of the deferred compensation liability and are held in a consolidated Rabbi Trust. The cash surrender values of the life insurance contracts held in the Rabbi Trust are intended to informally fund a portion of the deferred compensation liability. Securities America is the owner and beneficiary of these policies, for which the aggregated cash surrender value totaled $10,419 and $12,370 as of December 31, 2014 and 2013, respectively. The deferred compensation liability of $17,640 and $19,056 as of December 31, 2014 and 2013, respectively, reflects the current value of the deferred compensation benefits, which is subject to change with market value fluctuations. The deferred compensation liability is equal to the theorized value of the underlying employee investment fund elections in the plan. Changes in the value of the assets or liabilities are recognized in the consolidated statements of operations.