1920: Ask Farnoosh: Tax on Bitcoin? How to Negotiate Workplace Benefits?

What It Covers

Farnoosh Torabi answers listener questions about Bitcoin gift taxation, negotiating workplace benefits at small businesses, equity compensation strategies, health investments, and whole life insurance policy withdrawals with specific tax implications.

Key Questions Answered

• •Bitcoin Gift Taxation: When receiving gifted Bitcoin, you inherit the donor's original cost basis for tax purposes. Capital gains tax applies only when selling above that original purchase price, not the gift's current value. Request documentation of original purchase price for accurate tax reporting.
• •Retirement Plan Negotiation: At small employers, negotiate increased IRA match percentages rather than larger salary raises, as this may be more financially manageable for the company. Approaching management collectively with colleagues creates stronger leverage than individual requests for benefit improvements.
• •Performance-Based Compensation: Structure bonus payments tied directly to measurable business outcomes like increased enrollment or revenue growth. This approach reduces employer risk since compensation increases only when you generate additional profit, making approval more likely than flat salary raises.
• •Health Investment Priorities: Preventative care through regular checkups and basic health insurance provides the highest return on investment for longevity. Consistent sleep schedules and workplace boundaries prevent stress-related health issues that manifest physically, reducing long-term medical costs and improving decision-making quality.