Cash Or Deferred Arrangement

About Cash Or Deferred Arrangement:

Cash Or Deferred Arrangement (CODA) is a defined-contribution plan that allows an employee to choose between cash and a deferred contribution to a retirement plan. A CODA allows an employee to accumulate investment income on a pretax basis. Distributions during retirement may be taxed at a lower effective tax rate. Former IRC (check if this IRC provision is current here) §401(k).

See Tax Rate and Tax Rate.