profit-related pay

A former UK scheme enabling employees to be paid part of their salary tax-free; it was phased out in 2000–01. Payments to employees under a registered scheme could be tax-free up to the maximum for the year; for profit periods beginning in 1999 this was £1000 or 20% of total pay, whichever was the lower.

Accounting dictionary. 2014.

Look at other dictionaries:

  • profit related pay — Under Chapter III of Part V of the Income and Corporation Taxes Act 1988, companies which allocate part of their profit of payment to their employees (as a whole) can qualify for tax relief – the additional income by employees is tax free.… …   Law dictionary

  • profit-related pay — PRP 1) The situation in which the pay of employees is related to the profit made by the employer. The purpose is to increase motivation, commitment, and effort by the workforce by ensuring that all staff have a positive stake in the commercial… …   Big dictionary of business and management

  • profit-related pay — (U.K.) HR a profit sharing program, approved by the Inland Revenue, in which employees received tax free payments in addition to their basic salary. Profit related pay was phased out during 2000 …   The ultimate business dictionary

  • profit-sharing scheme — A scheme by which employees share in the profits of a business, usually through some type of share ownership. See employee share ownership plan; employee share ownership trust; savings related share option scheme; share option See also gain… …   Big dictionary of business and management

  • Profit (economics) — In economics, the term profit has two related but distinct meanings. Normal profit represents the total opportunity costs (both explicit and implicit) of a venture to an entrepreneur or investor, whilst economic profit (also abnormal, pure,… …   Wikipedia

  • pay — ▪ I. pay pay 1 [peɪ] noun [uncountable] the money someone receives for the job they do: • She got the job, but it meant a big pay cut. • an increase in hourly pay • All I want is a full day s work for a full day s pay …   Financial and business terms

  • pay — I noun allowance, award, compensation, consideration, defrayal, defrayment, earnings, emolument, fee, grant, hire, income, indemnity, meed, merces, monetary return, payment, perquisite, profit, reckoning, recompense, reimbursement, remittance,… …   Law dictionary

  • pay off — verb 1. yield a profit or result (Freq. 4) His efforts finally paid off • Hypernyms: ↑yield, ↑pay, ↑bear • Verb Frames: Something s 2. eliminate by paying off ( …   Useful english dictionary

  • Pay per click — Internet marketing Display advertising Email marketing E mail marketing software Interactive advertising …   Wikipedia

  • pay — Synonyms and related words: accomplish, achieve, advantage, afford, angel, answer, attend to, avail, back, bankroll, base pay, be exposed to, be gainful, be had, be handy, be of use, be profitable, be subjected to, be worthwhile, benefit, bestead …   Moby Thesaurus

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