Staff Incentives

[SueEllen]

Wait till he gets the tax bill....

Did wonder how this works - permie colleague at ClientCo got £500 in High Street vouchers for being employee of the year or sommat. Presumably she gets taxed on that? Bit of a pain if you're given a gift you didn't ask for worth £500 and get a tax bill of £200.

No tax on vouchers for either party last time I checked as long as they are for generic shops i.e. not any shops/retailers who just sell alcohol or tobacco.

I did a temp years ago and when we hit a milestone we got vouchers as we weren't taxed in them. The managers explained they were tax free for us.

I've also done various surveys since over the years and been offered a choice of x pounds in cash or y pounds in vouchers, and the vouchers have always been at least 20 quid more.

Finally about 2 years ago I got various people to do work for me and gave them M&S vouchers. My accountant explained before I did it that there was no addition tax on them for either party although they counted as payment for services. (Got M&S vouchers as I knew people could get food, alcohol or undies with them.)

[vetran]

Just watching the Queen documentary, they were talking about the jazz album which they made in France due to 98% tax, yet 30 years later the government still has difficulty with such ideas.

[Sysman]

Wanna check that link again?

Ta. Fixed.

[Troll]

Back in the seventies there were a lot of things like that and given the high income tax rates at the time, there probably had to be, or the peasants bosses would have revolted.

History of taxation in the United Kingdom: From the Second World War

Wanna check that link again?

[Sysman]

That seemed to be the deal, get taxed if added as wages or full value if vouchers. Long time ago mind.

Three hundred quid of vouchers bought a lot of booze in the 70's.

Back in the seventies there were a lot of things like that and given the high income tax rates at the time, there probably had to be, or the peasants bosses would have revolted.

History of taxation in the United Kingdom: From the Second World War

In 1971 the top rate of income tax on earned income was cut to 75%. A surcharge of 15% kept the top rate on investment income at 90%. In 1974 the cut was partly reversed and the top rate on earned income was raised to 83%. With the investment income surcharge this raised the top rate on investment income to 98%, the highest permanent rate since the war. This applied to incomes over £20,000 (£155,247 as of 2013),[5]. In 1974 750,000 people were liable to pay the top-rate of income tax.

[Cliphead]

You didn't get taxed on the booze vouchers? Can myCo incentivise me with booze vouchers?

That seemed to be the deal, get taxed if added as wages or full value if vouchers. Long time ago mind.

Three hundred quid of vouchers bought a lot of booze in the 70's.

[Bunk]

You didn't get taxed on the booze vouchers? Can myCo incentivise me with booze vouchers?

I thought these were booze vouchers.

You mean you can buy other stuff with them too? Amazing

[SimonMac]

Wait till he gets the tax bill....

Did wonder how this works - permie colleague at ClientCo got £500 in High Street vouchers for being employee of the year or sommat. Presumably she gets taxed on that? Bit of a pain if you're given a gift you didn't ask for worth £500 and get a tax bill of £200.

Normally I've seen it where you are given a gift of £700 which equals £500 in your pocket (exact math may vary)

[mudskipper]

As a student I got a summer job with Dixons. They had what they called a spiv list which was all the stock items they wanted to get rid of from calculators to TV's, the greater the value the more an item added to the reward. You could choose to have the extra money added to your wages and taxed or for the local booze chain vouchers.

I went for the vouchers and cos I was only going to be there a relatively short time made sure everytjing I sold was on the list. At the end of the gig I had to get a mate with a car to transport the booze to my flat, cases of beer stacked to the ceiling, cases of spirits. I gave most of it away and kept the spirits for Christmas and New Year.

You didn't get taxed on the booze vouchers? Can myCo incentivise me with booze vouchers?

[Cliphead]

As a student I got a summer job with Dixons. They had what they called a spiv list which was all the stock items they wanted to get rid of from calculators to TV's, the greater the value the more an item added to the reward. You could choose to have the extra money added to your wages and taxed or for the local booze chain vouchers.

I went for the vouchers and cos I was only going to be there a relatively short time made sure everytjing I sold was on the list. At the end of the gig I had to get a mate with a car to transport the booze to my flat, cases of beer stacked to the ceiling, cases of spirits. I gave most of it away and kept the spirits for Christmas and New Year.

[mudskipper]

Wait till he gets the tax bill....

Did wonder how this works - permie colleague at ClientCo got £500 in High Street vouchers for being employee of the year or sommat. Presumably she gets taxed on that? Bit of a pain if you're given a gift you didn't ask for worth £500 and get a tax bill of £200.

[Gruffalo]

My welcoming gift is a company credit card - sorted

[Sysman]

At one gig they had regular "Clear Desk Policy" inspections.

If you passed, they usually left a note saying well done and perhaps a piece of chocolate.

One time they left a teabag in a nice fancy wrapper.

The tea must have been bought as bankrupt stock or something. It tasted foul.

[worzelGummidge]

That reminds me of my last permie job...

On day two of my nice new permy job during 2009 in technically interesting but rubbish paid role I was given a brand new shiny plastic biro as a welcome gift.
On day three I served notice.

Moral of the story if you are going to give any gift at all make sure it's not cheap rubbish.

[doodab]

A lesson in how it should be done.....

BBC News - Mansfield Town chairman gives Aston Martin to manager