Actually not really stock options, it just sounded "upper class."
Along with feeling generally out of place when hearing co-workers talk about the latest trappings of an opulent lifestyle, I've also long felt like I know less about the world of finance than anyone within these walls. I have a theory that I spent a lot more of my twenties with my full energy focused on the world of personal pursuits and introspection, whereas many of the people around which I work spent that time learning about self-amotorizing loans, investments, and generally how to get ahead in the world. There's lots of people here that, nearly 10 years my junior, that are in a different universe, career-wise, than I was at their age. That, along with a few other factors (their lack of interest in just about anything outside of ESPN, grilling, and playing golf) tends to support my theory.
Anyway, I will often hear people asking each other how the company's (our company's) stock "is doing." Aside from 401k (in which I started contributing at age 30-not too late in the game), I've always pretty much blown off any talk of investments and stock, considering such pursuits games as only for an ambitious, hardball-playing, group of wheelers & dealers. Definitely not my style. Not my world.
But they started a program here where any employee could set aside money to purchase company stock over 6-month period, via payroll deduction. At the end of the 6 months, the company will purchase the stock for the employee at a 15% discount from whichever price is lower, the price at the beginning of the six months or end of the six months. After a couple of years of avoiding yet another item in the world of finance, it suddenly started striking home to me what an incredible deal this really was. Basically, unless the stock drops 15% over the six month period, you win. Certainly, that drop could occur, but I'm not sure it ever has in the life of Big Buy. Or if it has, it's almost certainly rebounded shortly after.
In any event, I have a specific focus for "getting in the game." Sharon & I are going to start putting 3% of my gross check into this thing, and possibly more, if budget permits in the future. Our specific goal is to grow the money purely for the purpose of paying off our "emergency debt" which, as has been chronicled, has become an emergency in and of itself.
Look out, boys, and would somebody please cue Night Ranger's "Secret of My Success?"
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Or, could someone rent Judd Nelson's "Billionaire Boys Club"?
Working for the University of Iowa, I get lost trying to select the best mutual fund through the TIAA-CREF we're offered. TIAA-CREFF does those really inspirational television ads where profs teach massive rooms of rapt students. It makes me 'feel good' about TIAA CREFF even though I still thumb through the quarterly report like a high school student thumbs through Finnegan's Wake.
Fortunately Cheri's MBA background makes her uniquely qualified to read this stuff, and assures me that, through the annual re-balancing she's done, we'll have a little set aside when Medicare ultimately doesn't kick in on my 72nd birthday.
Like 99% of the population thumbs through Finnegan's Wake he surely means.
But back to the point at hand - definitely sounds like a winning strategy. I'd recommend you do a little web searching to understand if other companies are doing something like this, and what their goal is. While employee retention is a noble goal for any company, few do things simply for that reason.
Pat: I've never read "Wake" and have no immediate plans to; I should say I'd have the same reaction doing either type of reading. I'd agree on the recommendation to do some checking, but it could be a good thing.
I've tried three times to get through Ulysses and failed. By all accounts FW is denser and less comprehensible. I recommend DUbliners and Portrait of the Artist as a Young Man however.
I wish you many happy returns!
Stephen: Nice to have a wife with financial acumen. Alas, I'm "Mr. Quicken" in my household. Which has almost certainly not benefitted our attempts to combat debt.
PMix: There's actually quite a lot of things at Big Buy that appear to be done almost entirely for the purpose in being a "leading employer." There's a lot of numbers out there suggesting employee retention is HUGE to the bottom line. But this thing, in particular? I'm guessing it was not done for the schmos like me. If any employee can set aside 3% of their gross paycheck and more than likely make over 15% in 6 months, can you imagine what that means for the executives that are making seven figures?
Dan: At least they aren't saying to totally invest in Best Buy, unlike Enron, where employees were encouraged to put every penny into Enron stock, and only Enron stock. That, I believe, is the very definition of a Red Flag.
Yeah, our 401 is definitely Mutual Fund-based. No pensions here.
Oh-and this is a minor little thing here-but it's "Big Buy" in this forum. I don't want my populist rants to be on display during some random HR web scrape.
I am certain that I know less about making money than anyone. Whenever someone starts talking about stock and 401Ks I develop a fog that covers my head and I feel that I have to leave. I hate talking about that stuff. I hate being broke also, so I should choose the lesser of two dislikes and try investing money that I don't have.
Sharon's park district is part of a state-run pention coalition of nonprofits called PERA. Ever since she's been employed there, they've been stowing a bit in there every paycheck that, though I haven't reviewed the details for some time, I presume will be there for her when she retires.
You sure your school districts aren't doing something like that for the Levenduskies?
Though I do like "pention" as a word, I meant pension.
TCLog's chock full o' state pension. he's a teacher.
As far as calling out important facts in the forum go, I'd prefer that my last name NOT be used, and I will do the same. Dan's been on a bit of a Mixdorf kick lately, all over the blogosphere.
Done. Sorry, I was not aware it was a concern of yours or I totally would have avoided doing so.
Just to clarify-I don't care if my name is used (with some modicum of taste, obviously). It's just the juxtaposition of me and my employer that I would prefer to avoid.
SOmebody mentioned Dubliners and portrait of a young man as an artist?
both on my list
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