Supplemental Executive Retirement Plan - SERP

See: Golden Handcuffs.

You run a company that makes various kinds of facial wax. The head of your highly profitable teeth wax division is a real hot shot. Companies are always trying to poach her, making exorbitant salary offers. These offers are getting so high, it's becoming difficult for you to afford to keep her. The salary would just be too much. However, the executive is willing to give up some salary now if you set up a supplemental executive retirement plan for her.

It’s like an individualized retirement program for one employee. Pension plan for just that one executive. It provides added benefits for them in retirement...essentially, a salary that gets paid far in the future.