Common use of Other Post-Severance Payments Clause in Contracts

Other Post-Severance Payments. For Limitation Years beginning on or after July 1, 2007, any payment that is not described in paragraph (A) or (B) above is not considered compensation if paid after Severance from Employment, even it is paid by the later of 21/2 months after an Employee’s Severance from Employment or the end of the Limitation Year that includes the date of Severance from Employment. Thus, Compensation does not include severance pay or parachute payments within the meaning of Code section 280G(b)(2), if they are paid after Severance from Employment and does not include post-severance payments under a nonqualified unfunded deferred compensation plan unless the payments would have been paid at that time without regard to the Severance from Employment.