The two most common types of employee scheme are Save As You Earn (SAYE) and Share Incentive Plan (SIP).
Your company will write to you with details of how to apply and manage all aspects of your plan if you are eligible.
Save As You Earn (SAYE)
SAYE is a tax-efficient cash saving scheme that lets you save towards buying shares in your company at a set discounted price. At the end of the term you have the option to buy shares in your company or take out your savings in cash.
The scheme has two components:
- a savings contract, and;
- a share option.
Share Incentive Plan (SIP)
A Share Incentive Plan is a tax efficient way for employees to invest in their company.
- up to four types of shares
- contributions for partnership shares taken from pre-tax salary
- regular statements of your share holding
- the payment of dividends