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(34,580 posts)
18. Part of that is driven by the tax code.
Fri Jan 22, 2016, 01:42 PM
Jan 2016

There are nasty surtaxes on salaries over a certain amount.

This drives money from salaries to bonuses.

There are more taxes for cash payouts. This drives compensation towards stock options.

Both were the result of federal attempts to use the tax code to stop CEO compensation increases. People tend to find ways around regulations and rules intended to restrict their behavior.

It works for non-CEO compensation, too. For much of the last 20 years wages have remained flat. This is news. But compensation for a lot of jobs has increased because pre-tax/non-wage compensation has increased. So at my job I get paid a salary, but every year my compensation goes up even faster because my employer covers increased health insurance costs. (They could pay me the additional money so I could pay the insurance premium increases, but I'd be taxed on that additional pay amount. The result of this quirk in the tax code was to drive money into better health insurance plans, which then were castigated as "cadillac" plans.)

Argh....that fucking Jamie Dimon. SoapBox Jan 2016 #1
Allegedly a dem fwiw...asshats like this give our party a bad name wordpix Jan 2016 #19
Sh*t - how nice. 840high Jan 2016 #2
And he deserves every penny of it--to pay his back taxes and reparations Proserpina Jan 2016 #3
Let's hear Hillary and Bernie debate this! wordpix Jan 2016 #20
She daren't go there, and he's too old-school polite to call her what she is. Proserpina Jan 2016 #22
Sick just fucking sick. mountain grammy Jan 2016 #4
+ 1 Stuart G Jan 2016 #17
A $7.4 million BONUS. TrollBuster9090 Jan 2016 #5
Part of that is driven by the tax code. Igel Jan 2016 #18
I wonder if dimon wrote the code wordpix Jan 2016 #21
USA ! USA ! Deny and Shred Jan 2016 #6
This is DISGUSTING in and of itself Plucketeer Jan 2016 #7
Bill wags his finger at us (& I shudder at where that finger has been). Divernan Jan 2016 #8
Ooooh, that's gonna sting - way to go, Bill! hatrack Jan 2016 #15
Kicked and recommended. Uncle Joe Jan 2016 #9
Bernie lsewpershad Jan 2016 #10
Now I"m not disagreeing with the sentiments here but passiveporcupine Jan 2016 #11
Not me....... Capt.Rocky300 Jan 2016 #13
+1000 wordpix Jan 2016 #25
I should have used the term, "paid" ....... Capt.Rocky300 Jan 2016 #27
The Key Difference . . . DarthDem Jan 2016 #14
Jennifer Lawrence doesn't lay thousands of people off and then get paid a bonus hatrack Jan 2016 #16
Nobody ever accused Jamie Dimon of being "popular"! Proserpina Jan 2016 #23
Progressive taxation would cover all of them FiveGoodMen Jan 2016 #28
Yes! Peace Patriot Jan 2016 #29
And this hypocrite........................... turbinetree Jan 2016 #12
It's Bernie Sanders' fault Politicub Jan 2016 #24
Message auto-removed Name removed Jan 2016 #26
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