How does this work? Base salary plus 25% cash entitlement. .

[HannsG]

Say base is £65k and there is a 25% on top if you want to take it.

This means you do without benefits right? Like private health, car allowance etc?

Surely you are still entitled to holidays?

Its a perm Job btw....

Edited by HannsG on Wednesday 16th October 20:25

[Crafty_]

Surely the 25% is a bonus ?

[northandy]

Crafty_ said:

Surely the 25% is a bonus ?

I would have thought the same, I've not heard of salary instead of benefits.

[Countdown]

HannsG said:

Say base is £65k and there is a 25% on top if you want to take it.

This means you do without benefits right? Like private health, car allowance etc?

Surely you are still entitled to holidays?

Its a perm iob btw....

In some roles (eg PwC, KPMG) my nderstanding is that you can swap part of your salary for benefits such as extra leave.

[New POD]

Rather than give you something you don't want, and then have to act as a middleman, they give you what it would have cost them (minus a bit, as they could get a volume discount), and they let you spend it as you wish.

They have to give you paid holidays...20 of them at least, but some places let you buy extra days, and others turn a blind eye to sickies.

[Crafty_]

Hmm, interesting.
I can't get cash equivalent, but I do get a benefits "pot" every year that I can then allocate to various things. Some benefits are mandatory (e.g. health care) but most of these can be upgraded for a higher level of cover or to cover spouse/children etc. The rest I can "buy/sell" as I wish.

[bga]

Countdown said:

In some roles (eg PwC, KPMG) my nderstanding is that you can swap part of your salary for benefits such as extra leave.

both do that. Salary sacrifice can be used for a few things inc extra leave.

[Lazygraduate]

RBS? They have a similar cash based benefits package IIRC

[valais]

Flex benefits, common in the consulting/advisories.

[Mannginger]

Is it in cash or shares? Could be related to the new shareholder contract where in essence you "buy out" your right to claim unfair dismissal or have redundancy pay etc?

https://www.gov.uk/employee-shareholders

[hadenough!]

Yep, sounds like an rbs role i spotted on linkedin last night. No idea though.

[HannsG]

Hi. Maybe I should have provided more info.

It ain't RBS.

Its a job in central london for a FS company though.

[anonymous-user]

Common practice in firms that still have or had a partnership structure - often at the senior(ish) levels it was assumed that they'd know far better than an HR wonk what to do with the benefits value so were provided with a % in lieu

[omniflow]

Could it be somewhere that replaced bonus with salary, but kept the "pensionable" part of the salary at the original level? So they are paying the extra cash to be in line with the market, but the extra cash is not pensionable / won't form part of any redundancy calculation etc?

[NorthernBoy]

My place does this. "reasonable" basic, topped up by a big chunk extra. The extra isn't pensionable, and part of it replaced other benefits that staff once had such as enhanced medical cover etc. it can also be withdrawn more easily than base salary can be reduced.

In my company's case, it's not a scam, it's just worth less than the equivalent amount in salary would be.