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Old 03-01-2006, 04:30 PM   #102
CrazyCanuck
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Join Date: Feb 2004
Location: Canada
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Re: Brunell Reworks Deal (FKA "Brunell Reluctant to Renegotiate Deal")

Quote:
Originally Posted by That Guy
he gives back 500k in 2006, and to comply with the 30% rule, that means he'd have to give back 650k in 2007. that means 1.15million bonus which can only prorate over 4 years. 1.15mill / 4 = 287.5k a year in bonus. 500k - 287.5 = 212.5k actual savings, or about 40% of what he reworks.

the 30% and extra base salary you're forced to turn into bonus (from 2007) makes restructuring much less useful now than in previous years.
This is a good analysis factoring in the 30% rule. I'm still crunching thru the numbers to see if we can get additional savings without violating the 30% rule. A $212K savings is so minimal. Gotta be a way to milk a little bit more.

Without the 30% rule we could probably turn that $200K savings into $2M.
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