Carolina Panthers offensive tackle Russell Okung made news in December when he announced that half his $13 million NFL salary will be paid in Bitcoin moving forward.
On Twitter, he discussed his reasons for making this move: “I’m freeing myself from fiat. You can too.” In another tweet, he stated: “You can make ‘x’ a year and watch it slowly erode with inflation or you can protect your hard-earned money with #bitcoin.”
Other professional athletes from the New York Yankees and Brooklyn Nets have approached Zap, the company that facilitates Okung’s Bitcoin deposits, about being paid in Bitcoin themselves.
But you don’t have to be a pro athlete to be paid in Bitcoin. If you’re interested in a crypto-centric salary, here are some quick tips.
Decide on a salary percentage to allocate to Bitcoin payments.
Bitcoin is still volatile, and the day-to-day world is conducted primarily in fiat. So, don’t go all-in on Bitcoin with your salary just yet. Instead, devote a portion to payments in Bitcoin. That way, you’ll have all the fiat you need while still reaping the benefits of Bitcoin’s continued rise.
Do your homework.
To get your employer on board with Bitcoin payments, make the process as easy as possible for them. Remember: to some extent, you’re asking them for a favor, so the fewer additional steps you create for your employer, the more open they’ll be to your idea. When you present the idea of Bitcoin payments, include options of payroll services that facilitate Bitcoin payments, such as Bitwage or BitPay Send.
Of note: Some services will even convert a portion of your salary into Bitcoin without going through your employer.
Look into tax obligations.
Currently, the IRS considers virtual currency to be property, so report it as you would any property. That said, this is obviously subject to change, and different countries tax cryptocurrency differently.
Are you already paid in Bitcoin?
We’d love to hear about it. Share your experience in the comments!