Hello friends,
This forum has been very useful to me in understanding various HR concepts without any ambiguity. I thank all the members for contributing your answers. Can someone help me in understanding the "Difference between fringe benefits and perquisites"?
Regards,
Charles P.
From India, Madras
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6This forum has been very useful to me in understanding various HR concepts without any ambiguity. I thank all the members for contributing your answers. Can someone help me in understanding the "Difference between fringe benefits and perquisites"?
Regards,
Charles P.
From India, Madras
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Hi Charles,
"Fringe benefits" mean compensation due to an employee pursuant to a written contract or written policy for holidays, time off for sickness or injury, time off for personal reasons or vacation, bonuses, authorized expenses incurred during the course of employment, and contributions made on behalf of an employee. In simple terms, all the monetary and non-monetary benefits beyond salary.
Perquisites or 'perks' as they are popularly known are the monetary content of fringe benefits. Perks are taxable according to Indian tax laws.
Best wishes,
Rajeev.V
From India
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"Fringe benefits" mean compensation due to an employee pursuant to a written contract or written policy for holidays, time off for sickness or injury, time off for personal reasons or vacation, bonuses, authorized expenses incurred during the course of employment, and contributions made on behalf of an employee. In simple terms, all the monetary and non-monetary benefits beyond salary.
Perquisites or 'perks' as they are popularly known are the monetary content of fringe benefits. Perks are taxable according to Indian tax laws.
Best wishes,
Rajeev.V
From India
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Dear Charles,
Anything in addition to Guaranteed Cash Compensation is a Fringe Benefit. Basic Salary and Allowances constitute GCC. Conveyance, Retirements, Housing, Loans, Credit Card, Telephone, Insurance Coverage, Club Membership, etc., are all Fringe Benefits. The availability and amount of Fringe Benefits are not guaranteed.
Perquisites are the facilities that come with a position. For example, once you are promoted to the position of Senior Manager, you will be eligible to avail a car under the company's car ownership scheme.
I hope this clarifies things for you.
Regards,
K.P. Misra
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Anything in addition to Guaranteed Cash Compensation is a Fringe Benefit. Basic Salary and Allowances constitute GCC. Conveyance, Retirements, Housing, Loans, Credit Card, Telephone, Insurance Coverage, Club Membership, etc., are all Fringe Benefits. The availability and amount of Fringe Benefits are not guaranteed.
Perquisites are the facilities that come with a position. For example, once you are promoted to the position of Senior Manager, you will be eligible to avail a car under the company's car ownership scheme.
I hope this clarifies things for you.
Regards,
K.P. Misra
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Hi Charles,
Fringe benefits can be monetary and non-monetary. They can be provided during or after employment. The main point to note is that they are all related to employment and not tied to performance. Some examples of fringe benefits include:
- Disability benefits
- Housing facilities
- Canteen facilities
- Conveyance facilities
- Children facilities
- Post-retirement benefits, etc.
Regards,
Vikas
Perks are similar to perquisites.
From India, New Delhi
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Fringe benefits can be monetary and non-monetary. They can be provided during or after employment. The main point to note is that they are all related to employment and not tied to performance. Some examples of fringe benefits include:
- Disability benefits
- Housing facilities
- Canteen facilities
- Conveyance facilities
- Children facilities
- Post-retirement benefits, etc.
Regards,
Vikas
Perks are similar to perquisites.
From India, New Delhi
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Questionnaire on Fringe benefits.doc