Jennifer Adams considers various ways employers can help employees through the cost of living crisis.
Given this challenging economic environment, many employers are looking to see how they can help employees financially. Pay increases may not be an option, bearing in mind the additional tax and National Insurance contributions (NICs) implications for employers and employees.
For some employees, tax-free, non-cash vouchers to assist with rising bills and food prices may be an alternative, as may proactive measures such as providing subsidised meals at work or facilitating car-share arrangements. Staff could be allowed to sell back unused holiday entitlement (subject to the minimum 5.6 weeks paid annual leave, which cannot be paid in lieu).
Advances for expenses
Some types of loan are exempt from these rules, so no benefit-in-kind arises. Such
