FlyerTalk Forums - View Single Post - Employer Sponsored Mortgage??
View Single Post
Old Aug 22, 06, 1:31 pm
Join Date: Jul 2001
Location: Near Pittsburgh, Pennsylvania, USA, Earth (PIT)
Programs: Airline/TSA Avoidance Platinum, Hotel Disloyalty Silver, Hertz 1.7*
Posts: 5,277
Originally Posted by cur
Buuut whaaat abooout the pooooiiinnnnts?!?!?
Yeah, no kidding.

I think the rental idea is better than buying. You should be able to get a decent apartment for the whole month for under the $2000 cost. In this scenario, it probably avoids taxable income because you're only there part of the time (not your main residence), but I am not an accountant. We used to rent apartments for employees, and it was a touchy thing as far as whether or not it was really allowed to be a simple expense for the company vs taxable income to the employee.

If you said you wanted to buy a house because you're eventually going to move to Atlanta, that's different. Perhaps then it would make more sense. But it won't save the company as much as you think. If you say $1000 allowance, that will be taxable to you, and taxable to them for various purposes (FICA, unemployment, etc). So you won't get $1000, and they won't get $1000 of savings. And if you got to where you had a net of $1000, they would get very little or no savings.
CrazyOne is offline