Nigeria’s Fintech Startup Paystack Cuts Workforce, 33 Employees to Depart

Paystack's Decision to Scale Down Operations Outside Africa

Nigeria's prominent fintech startup, Paystack, has recently announced its decision to downsize its operations outside Africa. As part of this move, Paystack will be parting ways with 33 employees based in Europe and the United Arab Emirates. Co-founder Shola Akinlade has assured the affected employees of his support in finding new opportunities.

Localizing Costs and Strengthening Customer Relationships

Paystack, a leading payments fintech startup, has expressed its focus on localizing costs and enhancing customer relationships. To achieve this, the company has made the difficult choice of downsizing its operations outside Africa, resulting in the departure of 33 employees located in Europe and the United Arab Emirates (UAE). Shola Akinlade, also known as Shollsman on the social media platform X, emphasized the importance of getting closer to customers in Nigeria.

In a social media announcement, Akinlade emphasized that Paystack is dedicated to minimizing the impact on the affected employees. The severance package offered includes four months' salary, accelerated equity vesting, an extension of health insurance coverage for three months, and more.

Paystack's decision to part ways with some of its talented employees aligns with the trend among Nigerian fintech startups, as many have either shut down completely or reduced their workforce. The crypto winter has been cited as one of the reasons behind these layoffs, as reported by Bitcoin.com News.

Supporting Employees in Transition

Shola Akinlade has made it his priority to assist the affected employees in securing new roles as quickly as possible. His empathy towards the impacted workers has garnered attention and appreciation on the social media platform X.

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Frequently Asked Questions

Are gold investments a good idea for an IRA?

For anyone who wants to save some money, gold can be a good investment. It can be used to diversify your portfolio. There is much more to gold than meets your eye.

It has been used as a currency throughout history and is still a popular method of payment. It’s sometimes called “the world’s oldest money”.

But gold, unlike paper currency, which is created by governments, is mined out from the ground. It’s hard to find and very rare, making it extremely valuable.

The supply and demand factors determine how much gold is worth. When the economy is strong, people tend to spend more money, which means fewer people mine gold. Gold’s value rises as a result.

On the flipside, people may save cash rather than spend it when the economy slows. This increases the production of gold, which in turn drives down its value.

This is why investing in gold makes sense for individuals and businesses. If you make an investment in gold, you can reap the economic benefits whenever the economy is growing.

Additionally, you’ll earn interest on your investments which will help you grow your wealth. In addition, you won’t lose any money if gold falls in value.

What should I pay into my Roth IRA

Roth IRAs allow you to deposit your money tax-free. You cannot withdraw funds from these accounts until you reach 59 1/2. However, if your goal is to withdraw funds before that time, there are certain rules you must observe. First, your principal (the original deposit amount) cannot be touched. No matter how much money you contribute, you cannot take out more than was originally deposited to the account. You must pay taxes on the difference if you want to take out more than what you initially contributed.

The second rule says that you cannot withdraw your earnings without paying income tax. Also, taxes will be due on any earnings you take. Let’s assume that you contribute $5,000 each year to your Roth IRA. Let’s also assume that you make $10,000 per year from your Roth IRA contributions. The federal income tax on your earnings would amount to $3,500. This leaves you with $6,500 remaining. Since you’re limited to taking out only what you initially contributed, that’s all you could take out.

Therefore, even if you take $4,000 out of your earnings you still owe taxes on $1,500. In addition, 50% of your earnings will be subject to tax again (half of 40%). So even though your Roth IRA ended up having $7,000, you only got $4,000.

Two types of Roth IRAs are available: Roth and traditional. Traditional IRAs allow you to deduct pretax contributions from your taxable income. When you retire, you can use your traditional IRA to withdraw your contribution balance plus interest. You can withdraw as much as you want from a traditional IRA.

Roth IRAs do not allow you to deduct your contributions. However, once you retire, you can withdraw your entire contribution plus accrued interest. There is no minimum withdrawal limit, unlike traditional IRAs. Your contribution can be withdrawn at any age, not just when you reach 70 1/2.

Which precious metal is best to invest in?

This question depends on how risky you are willing to take, and what return you want. Gold is a traditional haven investment. However, it is not always the most profitable. Gold may not be right for you if you want quick profits. You should invest in silver if you have the patience and time.

If you don’t care about getting rich quickly, gold is probably the way to go. Silver might be a better investment option if steady returns are desired over a long period of time.

What precious metals do you have that you can invest in for your retirement?

These precious metals are among the most attractive investments. They’re both easy to buy and sell and have been around forever. They are a great way to diversify your portfolio.

Gold: This is the oldest form of currency that man has ever known. It’s also very safe and stable. Because of this, it is considered a great way of preserving wealth during times when there are uncertainties.

Silver: Silver is a popular investment choice. It is an excellent choice for investors who wish to avoid volatility. Silver, unlike gold, tends not to go down but up.

Platinum: This precious metal is also becoming more popular. It’s resistant to corrosion and durable, similar to gold and silver. It’s however much more costly than any of its counterparts.

Rhodium. Rhodium is used as a catalyst. It is also used for jewelry making. And, it’s relatively cheap compared to other types of precious metals.

Palladium: Palladium is similar to platinum, but it’s less rare. It’s also more affordable. It is a preferred choice among investors who are looking to add precious materials to their portfolios.

Statistics

  • Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
  • If you take distributions before hitting 59.5, you’ll owe a 10% penalty on the amount withdrawn. (lendedu.com)
  • You can only purchase gold bars at least 99.5% purity. (forbes.com)
  • Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
  • If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item’s value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)

External Links

finance.yahoo.com

bbb.org

irs.gov

wsj.com

How To

The growing trend of gold IRAs

Investors are increasingly turning to gold IRAs as a way to diversify and protect their portfolios from inflation.

The gold IRA allows owners to invest in physical gold bullion and bars. It is a tax-free investment that can be used to grow wealth and offers an alternative investment option to those who are concerned about stocks or bonds.

Investors can manage their assets with a gold IRA without worrying about market volatility. Investors can protect themselves from inflation and other possible problems by using the gold IRA.

Investors also get the unique benefits of owning physical Gold, including its durability, portability, flexibility, and divisibility.

Additional benefits of the gold IRA include the ability to quickly pass ownership to heirs. Additionally, the IRS does not consider gold a money or a commodity.

Investors who seek financial stability and a safe haven are finding the gold IRA increasingly attractive.

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By: Terence Zimwara
Title: Nigeria’s Fintech Startup Paystack Cuts Workforce, 33 Employees to Depart
Sourced From: news.bitcoin.com/nigerias-fintech-startup-paystack-cuts-workforce-33-employees-to-depart/
Published Date: Sat, 18 Nov 2023 12:30:45 +0000

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