Slovakia
It is proven that non-monetary benefits that employees receive throughout the year are a motivation for better work performance and build strong loyalty to the employer. They have more power than monetary rewards. What can you offer employees tax-free?
Employees work for reward. However, it is far from just salary. Every single employee wants their superiors to notice their commitment, performance and results and then reward them for it.
A salary increase is a short-term motivation, because after some time the employee "gets used" to the higher amount coming to his account. The feeling that the employer values him gradually disappears.
"However, the amended Income Tax Act allows people to be rewarded in non-monetary form throughout the year, up to €500 (collectively from all employers). The condition is that the employer does not include these costs in tax expenses," says tax and accounting specialist Martin Tužinský.
According to the survey, recognition and rewards motivate up to 99% of employees to higher work performance, therefore it is very meaningful and important to reward employees throughout the year.
Non-monetary benefits can take different forms, such as:
• credit in application for benefits administration,
• vouchers,
• and other.
Edenred provides a package of solutions for how you can reward employees efficiently and in a way that is friendly to the company.
How it works, for example Edenred Benefits Café benefit management application?
Edenred Benefity Café is an intuitive and user-friendly web platform that adapts to your needs and the needs of your employees. Thanks to it, you have all internal and external benefits available in one place.
Edenred Benefits Café presents a simple and effective solution for employee benefits, available 24 hours a day. It covers the management of food allowances, recreation vouchers and leisure benefits on one web platform that works for all devices, be it computer, tablet or smartphone.
The biggest benefits of Edenred Benefity Café include:
- simple management of all employee benefits in one place,
- difference from the competition in the fight for new employees,
-a huge amount of benefits for its employees thanks to a wide partner acceptance network of establishments in Slovakia with maximum freedom in their choice.
"Our surveys show that up to 80% of employees who perceive that their superiors value and reward them do not consider changing jobs," said Lívia Bachratá, Public Affairs Director Edenred Slovakia.
Not only employees are entitled to a non-monetary reward in the aggregate amount of €500 per year, exempt from tax and levy obligations, but e.g. also the so-called "contractors" or managers or partners without an employment contract.
The rewards you provide to employees can be one-time or regular. If you choose year-round remuneration of employees, you can evaluate them based on:
• employee performance,
• company results,
• jubilees (work anniversary, birthday, name day, birth of a child and others),
• special events.
"According to our experience, universal vouchers and cards for the purchase of goods or services with a wide acceptance network are popular benefits and appreciated by employees." said Lívia Bachratá, Public Affairs Director Edenred Slovakia.
"Keeping satisfied and efficient employees is a challenge for every employer and HR staff. Our data confirms that employees value non-monetary rewards. They perceive them as praise, appreciation and interest from their superiors. Edenred has a large network of partners with whom benefits can be applied, therefore rewarding employees throughout the year with us is simple and efficient at the same time." said Lívia Bachratá, Public Affairs Director Edenred Slovakia.
