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by Undo Capital
December 15, 2025
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What Is Working Time Requirement (EMI)?

The working time requirement is the EMI rule that employees must work at least 25 hours per week, or 75% of their total working time, to qualify for EMI options.

Working Time Requirement (EMI) Meaning

The working time requirement meaning centres on ensuring EMI options are granted to genuine employees who contribute substantially to the business. To define working time requirement in practice, an employee must meet one of two thresholds: a minimum of 25 hours of weekly work for the company, or, if they have multiple jobs, at least 75% of their total working time dedicated to the EMI-granting employer. A clear working time requirement definition is essential because employees who do not meet this test at the time of grant cannot receive EMI tax benefits. The working time requirement stands for clarity, compliance and alignment with HMRC’s intention for EMI to reward key contributors.

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Disclaimer: Our services are designed to assist startups and businesses with company formation, legal agreements, and funding-related documentation. We do not provide investment advice, financial advice, or tax advice, nor are we regulated by the Financial Conduct Authority (FCA). Participating in startups and early-stage enterprises carries inherent risks, including limited liquidity, absence of dividends, potential loss of investment, and dilution. Any decisions regarding investments should be made independently by the investor as part of a well-diversified portfolio.