Minimum 12.5% Pay Cut for USAB
A little recognised problem is inherent in the new deal for those based with USAB. Once the company establishes USAB as a US based company (as opposed to a HK based company presently), the employee will be responsible for paying the 12.5% FICA tax (deducted by CX and paid to the US Gov directly). At the moment this is not paid, so upon this change of basing jurisdiction, takehome pay will see a reduction of this amount. Comments?