Stu Posted September 14, 2011 Share Posted September 14, 2011 are they worth buying? been offered them through the company i work for and im debating wether to or not we have been offered them 2 for 1 so if we bought £10 a month we would actually get £30!any advice welcome Quote Link to comment Share on other sites More sharing options...
Theboyparker Posted September 14, 2011 Share Posted September 14, 2011 I don't know alot but my place does the same. I work for a multiple national company and they grow every year. What you need to look at is, is the company going to grow and do you mind waiting for a return in say 5-10yrs time.There good schemes but I'd do some research first and someone else on here might know more lol Quote Link to comment Share on other sites More sharing options...
sparkeh9 Posted September 14, 2011 Share Posted September 14, 2011 A guy where I work entered the company's share scheme, he put in 9k over 3 years, and got about 24k back at the end of it. Quote Link to comment Share on other sites More sharing options...
techno Posted September 14, 2011 Share Posted September 14, 2011 I know someone whose wife is in a share scheme, usually they clear a decent return but as with these things its not gauranteed, she has to hold onto her shares this time till the market recovers a little as she would lose on them at the moment! Quote Link to comment Share on other sites More sharing options...
Stu Posted September 14, 2011 Author Share Posted September 14, 2011 A guy where I work entered the company's share scheme, he put in 9k over 3 years, and got about 24k back at the end of it. so the shares went down then!! to be honest i can see it just growing and growing as they have their hand in everwhere and profit is just getting higher and higher each year Quote Link to comment Share on other sites More sharing options...
Stu Posted September 14, 2011 Author Share Posted September 14, 2011 I know someone whose wife is in a share scheme, usually they clear a decent return but as with these things its not gauranteed, she has to hold onto her shares this time till the market recovers a little as she would lose on them at the moment! well the thing with my job is that the worse the market is the more and more people cant afford to run cars etc so use public transport so more profit for the company!! Quote Link to comment Share on other sites More sharing options...
sparkeh9 Posted September 14, 2011 Share Posted September 14, 2011 A guy where I work entered the company's share scheme, he put in 9k over 3 years, and got about 24k back at the end of it. so the shares went down then!! to be honest i can see it just growing and growing as they have their hand in everwhere and profit is just getting higher and higher each year No the share price went up, he put in 9k total over the duration of 3 years, at the end of it, he got back 24k. That's 2.6 x the investment back! Here, they guarantee that you'll get back at least what you put in if the market goes south, if that's the case with your workplace, then it's a no lose situation Quote Link to comment Share on other sites More sharing options...
techno Posted September 14, 2011 Share Posted September 14, 2011 I know someone whose wife is in a share scheme, usually they clear a decent return but as with these things its not gauranteed, she has to hold onto her shares this time till the market recovers a little as she would lose on them at the moment! well the thing with my job is that the worse the market is the more and more people cant afford to run cars etc so use public transport so more profit for the company!! How true Quote Link to comment Share on other sites More sharing options...
Stu Posted September 14, 2011 Author Share Posted September 14, 2011 A guy where I work entered the company's share scheme, he put in 9k over 3 years, and got about 24k back at the end of it. so the shares went down then!! to be honest i can see it just growing and growing as they have their hand in everwhere and profit is just getting higher and higher each year No the share price went up, he put in 9k total over the duration of 3 years, at the end of it, he got back 24k. That's 2.6 x the investment back! Here, they guarantee that you'll get back at least what you put in if the market goes south, if that's the case with your workplace, then it's a no lose situation sorry thought you ment 9k a year its also untaxed earnings too not sure if this is that same with them all so would pay less tax per week and if i keep paying in for 5 years then i dont pay TAX or NI on any of it dont think we the same back if it goes south though Quote Link to comment Share on other sites More sharing options...
oldgreg01 Posted September 14, 2011 Share Posted September 14, 2011 If you're getting 30 quids worth for every tenner then that's 3:1.So they would have to drop by 66% before you lost any of your original investment. Doesn't sound very likely, but I don't know the company.What's the restrictions on you selling them.? There must be something to stop you putting in a grand and then flogging them all for 3k straight away. Quote Link to comment Share on other sites More sharing options...
Stu Posted September 14, 2011 Author Share Posted September 14, 2011 If you're getting 30 quids worth for every tenner then that's 3:1.So they would have to drop by 66% before you lost any of your original investment. Doesn't sound very likely, but I don't know the company.What's the restrictions on you selling them.? There must be something to stop you putting in a grand and then flogging them all for 3k straight away. sorry yeah its 2 shares for 1 wheer the company gives us 2 for every 1 we buy up to the value of £20 a month i havent go to the restrictions on selling them yet we can only buy a max of £125 a month and they are kept in a trust if we take them out before 5 years we will have to pay TAX and Ni on tem when we sell them if we keep them in the trust till after the 5 years we dont pay nothing on them if we decide to sell them Quote Link to comment Share on other sites More sharing options...
Silverspring Posted September 14, 2011 Share Posted September 14, 2011 I know a little bit about these thing since I'm a tax advisor (please don't hold it against me )The way you have described the shares and the plan it sounds like an approved scheme so your capital will be protected no matter what happens to the share price. At the end of 3 years you can take your money back or you can take the shares and sell them. The only price fluctuation you are exposed to is in the time between you asking for the shares and selling them, you can do this within an hour as a general rule.The tax savings are worth it. Say you make £20,000, you pay tax and NIC on the £20,000 after you personal allowance. If you put £100 a month into the scheme, you only pay tax on £18,800 etc. Since NIC plus tax is effectively 30 - 40% or higher it's a really good saving.If you hold onto the shares for more than 5 years they become a capital gain when you sell them which is not subject to NIC and the tax rate is 18%, plus you have a separate personal allowance for gains of £10,100 which means they are often tax free.Ok I've said way too much but hope you found it vaguely helpful! Or maybe nobody read this far since it was all tax chat Quote Link to comment Share on other sites More sharing options...
Stu Posted September 14, 2011 Author Share Posted September 14, 2011 Ok I've said way too much but hope you found it vaguely helpful! Or maybe nobody read this far since it was all tax chat why stop there? found it a bit more helpfull yes its a HMRC approved share investment plan and goes through the yorkshire building society Quote Link to comment Share on other sites More sharing options...
Jive Posted September 14, 2011 Share Posted September 14, 2011 We had a sharesave scheme through work (nat express) and we were guaranteed our money into shares or get the whole investment back. Well worth it IMO Quote Link to comment Share on other sites More sharing options...
Tango Posted September 14, 2011 Share Posted September 14, 2011 Don't do it stu......coz come the glorious day, comrade, when all the banks burn you'll be out of pocket...........now where did I put that Stalin smiley..... Quote Link to comment Share on other sites More sharing options...
Jixerman Posted September 14, 2011 Share Posted September 14, 2011 I know someone whose wife is in a share scheme There's a name for that Quote Link to comment Share on other sites More sharing options...
cruz Posted September 15, 2011 Share Posted September 15, 2011 I have been in several share issues through my employers not lost a penny yet, some I didn't make a lot others I did, all administered through Yorkshire Bank.You do need to be aware that share values may go down as well as up, so you may find you have to hold them until the price starts to rise, as a rule been a good way of making some savings. Quote Link to comment Share on other sites More sharing options...
Stu Posted September 15, 2011 Author Share Posted September 15, 2011 yes i know they can go down as well as up but as someone has pointed out they would have to drop 66% for me to loose money!! on paper it sounds like a win win situation really Quote Link to comment Share on other sites More sharing options...
Colin the Bear Posted September 15, 2011 Share Posted September 15, 2011 I don't like sharinghttp://i195.photobucket.com/albums/z28/Colin_the_bear/Appetit_18.gif Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.