Sodexo Pass - Probation Period

Hi,
I am working as HR in software company.total strength of employees are 15.we are planning to go for sodexo pass(meal) for the employees.I have heard that it is tax benefit to employees and no FBT to employer.
But i would like to know that how sodexo voucher amt is calculated,on what basis??does it depend upon the designation or salary of the employee,does sodexo pass are given to permanent/probation period employee etc ...If we give sodexo pass under salary it will be tax benefit but if we provide sodexo pass excluding salary then it will considered as perks to employees.We would like to go for both as it will be tax benefit and perks to employees to motivate them.
Kindly guide me.
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Regards,
Kala.

Kala,
Sodexo pass meal coupons is definitely a tax saving reimbursement for employees as well as employers. As per the Statutory provisions too "Food an beverages provided through non-transferrable food coupon (to any one) is excluded from 'hospitality' and exempt from FBT".
You may calculate the amount by evaluating the salary structure and the % re-imbursement of gross salary you are providing to your employees at various levels. For example the bottom grade re-imbursement for meal may be Rs. 15/- per day .. and so on.

Hi,
Instead of a Sodex Ho pass which is paper based,why don't you go for electronic equivalents like the Axis Bank Meal card or the HDFC Food Plus cards?
Regards,
Vartica

Hi,
Can you pls explain it more like how can we go for these, usage and benefits?
Looking forward to your reply.

Hi,
Go through the Axis bank web site.Under the cards section you will find one called a meal card.Read all about it there.You could ask a rep to meet you.He'll explain everything.If you are in Hyderabad and need help let me know and I shall send my rep to you.A similar product is also offered by HDFC.Check their web site too.Take care,
Regards,
Vartica

Hai,
We in our organisation have planned to select an employee everymonth as "Employee of the Month" and to give a gift like Ticket / Coupon / Card, So Could anyone please tell me is there any other attractive card or coupons available other than sodexho.
Priya

Hi,
Lots of banks offer Gift Cards.You can buy them and load them with whatever denomination you want.HDFC and many other banks have these.Thanks,
Regards,
Vartica

Thanks for your information and also i would like to know whether there is any minimal limit for sodexho coupon. If so could you please let me know what is the minimum amount of Sodexho Coupon.
Thanks in advance
Priya

Shiva,
Sodexo pass is a reimbursement in the form of food coupon provided by the employer to employee to meet his/her food expenses and which is not taxable. Most companies give these food coupons to the employees from their CTC's to save the tax.There is no limit on Sodexo pass but you have to specify some reasonable amount, say Rs.50/- per day(50*22=1100,75*22=1650) or Rs.75/- per day . Just because it is a tax free component you cannot give them coupons huge worth and something unreasonable.
Thanks
Geetanjali

Hi Mohanpriya,
Minimum Amt starts with Rs.10. ( Its like 10-15-50-75 go on..)
Regards,
Deepa