Tesco employee save as you earn.

financial_illiterate

LongTermLurker wrote: »

I think the names you use are marketing names, certainly I've never heard of sharebuild. A quick google lists the Halifax Sharebuilder, but nothing else useful. On the other hand, "sharesave" seems a more generic term and documented by HMRC. Saying that, "sharesave" is another term for Save As You Earn. It's not simple, is it?

Your second description matches what I understood though.

I think you're quite correct; there's startlingly little written about them on the web. It appears to be called SIP and to have been nicknamed 'Buy As You Earn' rather than Save As Youy Earn, though.

Best I can find:

http://www.cipd.co.uk/subjects/pay/empbnfts/empshares.htm wrote:

Share Incentive Plan (SIP)



This was introduced in the Finance Act 2000 and is thus the newest of the approved all-employee share schemes. Formerly known as ‘All-employee share ownership plan (AESOP)’ the scheme was renamed in October 2001. Four types of share are available under the scheme: free shares, partnership shares, matching shares and dividend shares. Under SIP, employers can allow staff to join the scheme whenever they want to.





According to ifs ProShare’s survey of companies offering SIP:

• 70% of firms offer partnership shares
• 36% of companies include dividend shares
• 47% provide matching shares
• 28% of companies offer free shares.

st999

Asda also have a sharesave scheme. The 2006 scheme at £30 a month for three years = £1080 as you get a free month at Christmas gave £1562 a profit of £482. Not bad for £30 a month for 3 years.
Stan

agal

Tesco run 3 share schemes that I know of;

1) Shares in Success - free shares allocated annually to all employees, no income tax, NI or CGT payable if held for a certain time (5 years I think)

2) Buy as you Earn - buying Tesco shares (at today's prices) from pre-tax income. No income tax or NI payable if held for five years.

3) Save as you Earn - saving up to £50 every four weeks from taxed income for either 3 or 5 years at the end of which you can take the money plus tax-free bonus or buy Tesco shares at a discounted or "option" price fixed when the savings scheme starts. Plans started in Feb this year had an option price of £3.11 so if the Tesco share price is higher than this in 3 or 5 years an automatic profit can be made (and if it isn't just take the money plus bonus).