2 ms·
Not familiar with the US tax system but does the concept of "growth shares" exist over there? They're a fairly standard thing in the UK and negate most of the i
by corford 10y ago
Not familiar with the US tax system but does the concept of "growth shares" exist over there? They're a fairly standard thing in the UK and negate most of the income tax and social security issues mentioned in the post. You're just left with CGT to pay on an eventual sale (and there are ways to reduce even that). Also, because they're shares there's no 90 day problem on leaving, you're awarded them on a simple vesting schedule and that's that.
Bonus: the IRS recognises them so American employees of UK companies can enjoy the tax benefits too.
https://www.twobirds.com/~/media/pdfs/expertise/employment/employment-incentive/growth-shares.pdf https://www.twobirds.com/~/media/pdfs/expertise/employment/e... is a nice primer if anyone is interested.