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[Plomien]

I do it at work, you don't have to sell them at the end if they aren't at a good return as well

[aaronjb]

Yup - I know folks at work who've also held on to shares for a long time.. some were bought (back when I joined, 6 years ago) at ~$20 a share, and at their peak were $140 - that's a tidy profit!

'course they're down to $80 again now, and some folks are sitting on shares bought at $100.. you win some, you lose some!

[STMO123]

Try here Tunnie, it looks like a sure-fire deal to me:

www.nigeriansharecon.com

[Allenm]

Tunnie,

This sounds like a very similar scheme to the one I am in that has just matured.  You can't lose, if the shares fall below the option price, you take the money.  You shouldn't have to pay income tax on the profit, but you will have to pay Capital Gains, although there is a reasonably high threshold before that kicks in.

Put in the maximum you can afford, you will soon adjust to the revised level of take home pay and it could turn into a nice amount in 5 years that could pay for something significant.

[Marks DTM Calib]

You might have to pay income tax actualy, its dependent on the share save scheme and how the company have set it up.

The scheme I was in at Ericsson was very good, they gave me 2 shares for every 1 I bought but, you paid income tax on the value of extra gain and dd not get shares until you had been in the scheme for 3 years.

Needless to say, when I sold 4 years worth I got a big wedge of cash!

[Varche]

Tunnie. Invest the fullest amount you can each month. From memory there is a maximum you can save in these schemes of 250 a month. So if you put in 100 now at a fixed share price of say 11$ and then they have another scheme next year you could save another 150 a month at a fixed buy price of say 11.80$. When they have anymore schemes you won't be able to put anymore in till your first scheme matures and you have either bought the shares OR had your money back if they have plumetted in value to say 3$.

There are issues like capital gains but the way to deal with that is to have them a longer time before selling or sell your capital gains allowance worth each year OR dare I say sell them and neglect to tell the taxman.

If your shares have gone up to say 30$ each from the purchase price of 11$ then you are in a very fortunate position of having to manage your tax situation. Don't forget too that once you have the shares those you don't have to sell will revieve annual dividends of around 4% (very approx) You can often opt to have that paid out in more shares (at whatever the shares were at the date the dividend was paid out) or you can just have the cash.

In the small print it will say something about what happens if you leave the company before the excercise of your option date. Something to think about if you are thinking of moving on in say four years time.

My advice would be to invest as much each month as you can't afford. (Maybe Mother and Father Tunnie have spare cash....................)

[tunnie]

Thanks for everyones input, most appreciated 

I've done some digging and spoken to my boss who has been at Sky since the beginning. He said he has never paid tax on the money earned from the scheme 

Although I could afford a lot more for next 6 months, I cannot sustain £200 a month for 5 years. So played it safe and taken a punt at £50/m on the 5 year scheme.

Apparently I can have as many as I want, up to a total value of £250, so next year I might take out another £50, or depending how funds go, bump it up to £100!

Thanks again all 

[aaronjb]

Y'know.. I wish I was half as sensible as you are with money, tunnie 

Still.. you only live once and I shall exit the world in a blaze of insolvency! 

[tunnie]

Y'know.. I wish I was half as sensible as you are with money, tunnie 

Still.. you only live once and I shall exit the world in a blaze of insolvency! 

I'm building a very healthy 4 figure sum for next year, I'm calling it my 'fun' pot. 

I treated myself this month to a nice pair of Bose headphones, so not always that careful! 

[aaronjb]

See, what I need to do is save up for the fun stuff, so that I can buy it and still have savings left..

But I usually just end up burning through my savings  Off to look at kit cars on Saturday and may come back £4k lighter for a set of throttle bodies 

[tunnie]

See, what I need to do is save up for the fun stuff, so that I can buy it and still have savings left..

But I usually just end up burning through my savings  Off to look at kit cars on Saturday and may come back £4k lighter for a set of throttle bodies 

 

If I had that burning a whole in my pocket I would do:

BMW Motorbike Off Road Training Levels 1,2 & 3 (they are £500 a pop)

I'd spend £750 on a road trip in the bike to Europe

£500 on Snowboarding in French Alps for a week

Buy that mint 3.0 MV6 off Daz and get everything fixed and a damn good over-haul. Still have some left for a few beers! 

My plan next year is, Snowboarding, another trip to Europe in Feb, Motorbike road trip to Scotland, Summer holiday with the mrs, summer holiday with the lads!