4 ms·

And they also probably end up paying a lower effective tax rate.

• orochimaaru 2y ago
  Yes. But I believe since most of the compensation is stock and is unrealized gains - they just put it in a trust. That way it builds what is called “generational wealth”.
  • mupuff1234 2y ago
    Yeah, didn't mean it's illegal or anything, but just another aspect leading to higher inequality.
  • derivagral 2y ago
    As I understand it, with low (<1%) interest rates... Take a low-interest loan against a % of your wealth. If you can get the loan, then it seems like you get to have your cake (unrealized appreciation gains) and eat it too (non-income money now.) Not riskless, but there's a lot of upside.