The purpose of Deferred Compensation plans is to generally structured the plan so that employees benefiting under the plan will receive constructive receipt in either the current or following year.

True / False.

True

Explanation:

The general purpose of Deferred Compensation for employees in an organization, is for the employee to gain a meaningful amount of money/receipt from an investment plan without annual tax laws because this investment can be received annually. So yes the purpose of this type of compensation plan is for employees to benefit from the plan constructively as the passage explained.