Share Scheme Fact Sheets

The RM2 Partnership publishes fact sheets on all the principal employee share schemes.  Each sheet is one side of A4.  Download or view them below, or call us now on 0208 949 5522 for share scheme advice or a free consultation.

When you select an RM2 fact sheet you will be asked for your email address once only - you can then download as many as you wish.  Note: your privacy is important to us; we will never pass on your personal details.  View our privacy policy.

RM2 factsheets on employee share schemes

The Share Incentive Plan

SIPs are highly flexible and a tax effecient method of providing incentives in the form of company shares. Find out the three ways in which the incentive can be provided.

The Deferred Share Purchase Plan

A DSPP can provide companies with the opportunity to offer share participation in a tax-efficient manner, as gains are treated as capital gains and not as a benefit of employment.

Joint Share Ownership Plans

Under a Joint Share Ownership Plan (JSOP), the employee (participant)acquires shares in the employing company jointly with another shareholder (joint owner).

Long-Term Incentive Plans

The term Long-Term Incentive Plan tends to be applied to any plan which is not short term in nature, in general practice it covers arrangements where shares are released to selected senior executives over a period of time.

Unapproved Share Plans

Unless specific tax rules apply, any share-based benefit passing from an employer to an employee will normally be subject to income tax at the employee's highest rate and possibly also to national insurance contributions(NICs).

Approved Company Share Option Plans

An Approved Company Share option Plan provides a tax effecient and highly flexible way to reward selected employees, managers and directors.

The Save-As-You-Earn Share Option Scheme

Approved SAYE Share Option Schemes are a highly tax effecient method for both quoted and unquoted companies to transfer value to employees. The employees are encouraged to stay with their employer while their benefits mature.

Expensing employee share awards

Factsheet addressing the requirement that the Accounting Standards FRS20 and IAS2 now place on Companies to show the value of incentives offered in their own shares as an expense against profit.

About The RM2 Partnership

The RM2 Partnership is a leading independant renumeration consultancy. This fact sheet provides background information on the firm.

The Enterprise Management Incentive

The EMI, introduced in the Finance Act 2000 is a highly tax efficient share option plan. Effectively the employee is granted the right to acquire a share in the future at a pre-agreed price.

Succession Planning

RM2 offer advice on succession planning and how implementing an employee trust can work to obtain value tax efficiently for the shareholders.

The RM2 Share Scheme Health Check

When correctly structured employee share schemes can play a central part in attracting, motivating and retaining staff. Find out how and why you should undergo a share scheme health check.

Company Share Valuation

There are many occasions on which the shares of an unquoted company need to be valued. In many cases the value will need to be agreed with HM Revenue & Customs for tax purposes.

Share Scheme Administration

Employee Share Schemes are complicated and mistakes made by inexperienced administrators can cost companies dearly.

Employee Benefit Trusts

The RM2 Partnership has an updated Employee Benefit Trusts factsheet post the Finance Act 2011. RM2 can design and administer EBTs as well as act as Trustee.

Employee Share Schemes: A Guide for Directors

2008/9 Edition - fully updated, with glossary, indexed and cross-referenced.   

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