Spanx employees given $10k, and 2-first class plane tickets.

[Spacehead]

Man, i bet a lot of you guys are a barrel of laughs at a party.

So what's the take here... never accept a bonus from your employer?

 

[MrSquished]

Those employees didn't start the business. They didn't take on the risk, and the rejection after rejection after rejection that Sarah faced during the starting phase of Spanx. She started Spanx in her apartment, and often faced rejection. If you want to reap huge profits go start your own business and get back to us. You probably won't last a week. Starting and running a successful business like Spanx might look glamorous and easy. Its not.

And she will be worth hundreds and hundreds of millions of dollars. Who said she shouldn't reap big big rewards? What exactly are you arguing against?

I just had a small business for a couple of years, but you ain't shit without your employees coming in day in and day out and executing your vision with a respectable level of dedication that keeps the product and service level consistent.

 

[Lost_in_the_HTTP]

I'd pet her. Back. Front. Wherever.

 

[ponyo]

Man, i bet a lot of you guys are a barrel of laughs at a party.

So what's the take here... never accept a bonus from your employer?

No, it's nice gesture from her. She didn't have to give bonus to her employees. I understand her angle. Idea of $10k to spend on trip and 2 first class airfare sounds so much cooler than just giving $30k cash. But $30k cash is better. Or $25k cash and 2 economy airfare tickets to anywhere. This way the taxes on the bonus can easily be covered from the cash portion while people can still fly to their destination.

 

[ponyo]

I'd pet her. Back. Front. Wherever.

You're a loser.

 

[BarkingGhostar]

How many of those employees will have a job six months from now under the new management?

 

[dullard]

So what's the take here... never accept a bonus from your employer?

Not at all. The take here is that getting an item that you don't necessarily need nor want can cost you. Would you rather get:
(A) $10k in cash, free tickets to see me talk, and a $10k tax bill or
(B) $30k in cash and a $10k tax bill?
Almost everyone in the world would be better off with option B. Only to the very few really oddball people would option (A) be the better choice. Bonuses to employees of items have large negative unintended tax consequences. You should accept most bonuses, but if you aren't given a cash bonus, you should at least stop and decide if you are willing to pay the tax on the non-cash item you are getting.