Google | Sign-on bonus | Ways to invest it directly thru google
Apr 30, 2020
Hello Googlers,
Context:
I will be joining Google in May.
I will be given a small amount of sign-on bonus.
Request:
Can Sign-on bonus be only taken in the form of cash payment
OR
Are there other ways to invest the sign-on bonus thru google and save some of the taxes?
Thank you.
Noogler.
#signon #google
comments
Flagged by the community.
Better way - you can ask Google to divert this to your after tax Roth 401k . That way you can put more than the 19k employee and 9.5 k employer match in your 401k. But not sure if you can do this with sign on.. definitely possible with year end bonus
2. There are no short cuts. You can't afford to skim through these. Pay them attention, and do your own research and data modeling on excel.
For start.. you earn more than 200k a year. You should not be thinking about miniscule 500$ copay.
Put aside gHip out of pocket maximum for you and family (~5k) in emergency medical fund. Then max out 7k in HSA. (HSA and FSA are different, you don't lose HSA at end of year. Do your research. It pays). And model 6% tax free interest and tax free withdrawal on that 7k per year addition over next 30 years.
If you fall sick, you don't withdraw from HSA. You can afford to pay the out of pocket maximum out of your pocket if you don't do stupid things.
FSA typically need to be consumed by end of year. Typically HSA rolls over to the next year.
You can't stuff sign on bonus in 401k / IRA / HSA and claim you saved taxes. Well then you lost possible tax savings on your base.