Non-wage compensation provided to employees in addition to base salary.
Fringe benefits encompass everything employees receive beyond base wages: health insurance, retirement matching, paid time off, life insurance, disability insurance, education assistance, parking, gym memberships, transit passes. Some fringe benefits are tax-favored (health insurance premiums, qualified retirement contributions); others are taxable wages.
The total cost of fringe benefits typically runs 20-35% of base wages depending on the package.
Non-wage compensation provided to employees in addition to base salary.
Fringe benefits encompass everything employees receive beyond base wages: health insurance, retirement matching, paid time off, life insurance, disability insurance, education assistance, parking, gym memberships, transit passes.
Most PEO buying decisions touch several related concepts at once. Fringe benefits typically comes up alongside the other terms in this category. Closely related terms include Total rewards, Group health insurance.
This is one entry from our PEO glossary covering payroll, benefits, workers comp, HR compliance, and PEO mechanics. Browse all terms.
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