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Home > QFINANCE Dictionary > Definition of fringe benefits

Definition of

fringe benefits

HR & Personnel

supplements to main pay from employer rewards given or offered to employees in addition to their wages or salaries and included in their employment contract. Fringe benefits range from share options, company cars, expense accounts, cheap loans, medical insurance, and other types of incentive plan to discounts on company products, subsidized meals, and membership of social and health clubs. Many of these benefits are liable for tax. In the United States, a cafeteria plan permits employees to select from a variety of such benefits, although usually some are deemed to be core and not exchangeable for others. Minor benefits, sometimes appropriated rather than given, are known as perks.

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    Benefits include pensions to which the employer makes a contribution, private health plans, life insurance, and similar personal benefits. Perks are fringe benefits such as status cars, concierge services, use of company accommodation, etc. In most countries such perks are taxable as benefits
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    How might an auditor overcome these issues? Interpersonal skills do make a tacit appearance at the fringes of accountancy education, in MBA schemes, and in professional qualifications, but it would be an understatement to say they are close to being “front and center.” Whether or not this should be the case is beyond the scope of this article or the qualifications of its authors
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Definitions of ’fringe benefits’ and meaning of ’fringe benefits’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’fringe benefits’ and other financial terms with our online QFINANCE Financial Dictionary.

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