Can My Employer Pay Me in Dollars?

Hi all

I am currently employed by a UK company that is owned by an American one. General payment is in GBP straight into bank account. Employees are likely to receive a bonus in the next few months and this is calculated as a percentage of an overall "pot" of dollars. Bearing in mind the current exchange rate, is there a mechanism whereby I could set up a dollar account, take the bonus in USD and wait for improvements in the rates? We are talking a few thousand dollars in 2 installments if that makes a difference.

TIA

Phil

Reply to
TheScullster
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I work for an American investment bank and we get the option to have our bonus paid in dollars into a USD bank account. Be aware though that the interest rate you get on your USD account may not be as good as you could get on a GBP account. If you wait too long for the exchange rate to more in your favour you may lose out on the lost interest. Also your employer may be able to exchange USD to GBP at a more favourable rate than you can personaly.

Andy

Reply to
AndyColeman

And I guess it is taxable in the UK at the exchange rate on the day you get the bonus ?

My bonus this year was so small it was an insult - Guess who is calculating early retirement VERY carefully this weekend.

Any advice on early retirement gratefully received.....

(Although it might well turn into a few years travelling then back to work for a few years).

Reply to
Miss L. Toe

I wouldn't have thought there was much difference between US and UK interest rates at the moment (although I don't have the yield curves in front of me).

I would have thought the thing to worry about is the assumption that there will be the an "improvement in the rates". Exchange rates can go down as well as up etc.

Reply to
Nick

No, they are about the same. But as a UK resident, you won't get the same good deals on savings accounts that an American would get.

Reply to
Jonathan Bryce

A few years back I took the bomus in USD and stuck it in a Natwest USD account, I was getting 0.1% a lot less than I was getting on my ING GBP account at the time. I was hoping the exchange rate would become more favourable within 6-9 months and thus did not shop around for a decent USD account, maybe if I had the rate would have been better.

Andy

Reply to
AndyColeman

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Are being heavilly advertised on the TV here (I am in the US at the moment). maybe a good place to start is their FAQ's and Ts&Cs.

Reply to
Miss L. Toe

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