Netflix's Cash Bonuses Become Salary Thanks to New Tax Plan
- Sarandos to get $12 million salary, more than 2017 cash target
- Three executives get average 31 percent boost to option grants
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Netflix Inc.’s top executives will now get paid in full no matter how the company does, thanks to the Republican tax plan.
The streaming-video provider is scrapping its cash bonuses, instead making the payments to top executives as salary. The recently passed tax plan eliminates companies’ ability to deduct performance-based bonuses to managers who are paid more than $1 million, so Netflix just decided to lump all cash payments into executives’ salaries.