Increases to all-employee share incentive plan (SIP) limits

Tue 01 Apr 2014

On 6 April 2014 these limits, which have remained unchanged for a number of years, are to be increased as follows:

free shares– the maximum award will increase to £3,600 (from £3,000);
partnership shares– the maximum that an employee can acquire (with the subscription deducted from pre-PAYE earnings) will increase to £1,800 (from £1,500) or 10% of salary if lower
SAYE schemes– the savings contribution limit for the Save As You Earn (SAYE) will double from £250 to £500.

The Bill also includes a new power to increase the limits by statutory order in future, rather than requiring primary legislation (e.g. in a finance bill).

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Increases to all-employee share incentive plan (SIP) limits

Increases to all-employee share incentive plan (SIP) limits

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