Fiducia TogetherEmployee benefits
What you give people beyond salary, and the tax that follows.
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.
What it means
Benefits include pensions above the minimum, private medical insurance, life assurance, company cars, cycle to work, electric vehicle schemes and enhanced leave.
Why it matters
Most benefits are taxable as benefits in kind, reported on a P11D or payrolled, with employer's Class 1A National Insurance due. Some are exempt or tax-advantaged, and those are the efficient ones.
What it looks like in practice
Salary sacrifice reduces both income tax and National Insurance for some benefits — pension and electric cars are the main survivors of successive restrictions.
What to watch out for
Trivial benefits have specific rules and are easy to get wrong. And benefits promised verbally then withdrawn, which can become a contractual dispute.
Where to get proper advice
Your accountant on the tax treatment before you offer anything. A benefits broker for the market.
Where to read more
Last reviewed 2026-08-28 by Fiducia Together · Next review due 2027-08-28
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.