Employers are always on the lookout for attractive employee benefits to motivate their employees and retain them in the long term. In addition to traditional benefits such as holiday days or company pension schemes, modern benefits are becoming increasingly important. Popular options include meal allowances and mobility budgets. In this blog article, we will take a closer look at these two benefits and find out which is the best choice.
Are your employees real foodies and love to enjoy a tasty meal at work? Then a meal allowance as an employee benefit is just the thing for you! More and more companies are recognising the importance of balanced meals at work and are therefore offering their employees the opportunity to benefit from a meal allowance.
But what exactly does this mean? The employer grants its employees a subsidy in the form of digital meal vouchers or credit loaded directly onto a card, which your team can use to enjoy their lunch break. Depending on the amount of the subsidy, your employees can treat themselves to one or even several meals a day without having to dig deep into their own pockets.
And the best thing about it: the meal allowance is tax-free up to the non-cash benefit value of 3 euros per meal! This means that your employees not only get a varied meal plan, but also save money. So it's no wonder that more and more companies are jumping on the bandwagon and offering their employees this attractive benefit.
Free choice and flexibility
Employees profit from this benefit in many ways. A meal allowance makes it possible to reduce catering costs during working hours and enjoy more varied meals. Employees receive a fixed monthly amount from their employer, which they can redeem at various restaurants or supermarkets near the office. They are flexible and free to choose their meals - be it a delicious lunch in the restaurant round the corner or a healthy snack from the supermarket.
Tax benefits
A major advantage of the meal allowance is that it is tax-free. The benefit in kind value for a tax-free meal is currently €3.47 per day. This means that employees do not have to pay taxes and social security contributions up to this amount per meal. This gives them a financial advantage and at the same time increases their purchasing power when choosing their meals.
Time saving and convenience
In addition to the financial aspects, a meal allowance also offers other attractive benefits for employees. They save time and effort in preparing their own meals and can use them for other things instead.
Promotion of the corporate culture
A meal allowance also promotes social interaction between colleagues, as many companies enter into partnerships with restaurants or supermarkets and create joint meal offers. This gives your employees the opportunity to spend their lunch break in pleasant company and make new contacts.
Companies such as Givve and Haufe offer digital meal allowance solutions that allow your team to conveniently receive and redeem meal vouchers via an app. This modern form of meal allowance not only simplifies the process for employees, but also offers employers an efficient administrative solution.
Overall, the meal allowance is an attractive employee benefit that offers you financial advantages, more choice in catering and additional social interaction. It is therefore definitely worth considering this option as an employer and benefiting from the advantages of a meal allowance.
Your employees are busy and want to make their working day as pleasant as possible. In addition to a meal allowance, there is another modern option that can fulfil your employees' needs: the mobility budget. With this benefit, you have the opportunity to support your employees financially with their mobility in order to cover their daily commuting costs and remain flexible at the same time. Compared to a meal allowance, a mobility budget gives your employees the freedom to decide for themselves how they want to use it. Rather than focusing on the enjoyment of meals, it is designed to support employee mobility.
Maximum flexibility
With a mobility budget, you enable your employees to receive a fixed monthly amount for travelling to work or business trips. They can use this amount for public transport such as buses or trains, invest in a company bike or use car-sharing services. This not only eliminates the stress of looking for a parking space, but you are also actively doing something good for the climate and the environment. What's more, a mobility budget gives your employees more flexibility in their choice of work location - be it a home office or a co-working space close to home.
Tax benefits
Another advantage of a mobility budget is the tax treatment. Unlike a meal allowance, you do not have to pay tax on the value of the budget as long as it remains within the legally stipulated non-cash benefit value of 50 euros per month. Public transport tickets such as the Deutschlandticket are tax-free and can even be offered at a reduced rate as a job ticket. Employees also benefit from tax relief and discounts when leasing a company bike. This means financial relief for employees and an additional incentive to utilise this option.
Imagine you could organise your commute to work entirely according to your preferences and receive financial support at the same time. It's possible with a mobility budget! Instead of being tied to fixed means of transport or times, you have the freedom to decide for yourself how you get to work. Whether by bike, public transport or car (with car sharing or a flexible car subscription) - a mobility budget offers you the flexibility that suits your lifestyle perfectly.
One major advantage of a mobility budget is its versatility. Unlike a meal allowance, your employees are not limited to catering. They can use their budget for various mobility purposes: be it for travel tickets, visits to petrol stations or even for repairing your bike. This not only makes travelling to work more pleasant, but also makes other everyday journeys easier.
Another advantage of a mobility budget is its tax treatment. Similar to the meal allowance, certain amounts are considered tax-free and exempt from social security contributions. This means more net income for your team! This financial support from the employer allows your employees to reduce their commuting expenses and thus make effective savings.
But it's not just financial savings that your employees can make. By promoting sustainable mobility such as public transport, company bikes or sharing services, your employees can reduce their carbon footprint. This also reduces the company's impact on the environment and climate, as commuting accounts for a large proportion of company CO2 emissions. This is relevant with regard to the upcoming CSR reporting obligation.
Various companies already offer practical digital solutions for a mobility budget. For example, there are digital platforms such as NAVIT or Mobiko that employees can use to manage their budgets. These modern solutions not only simplify the administrative workload for employers and employees, but also enable simple, transparent and tax-compliant billing.
You are faced with the decision of which modern employee benefit is the best choice for your team: a meal allowance or a mobility budget. Both options have their pros and cons, so it's worth taking a closer look at them.
A meal allowance is an attractive benefit that many companies offer their employees. Employees receive digital meal vouchers worth, for example, 6 euros per meal. The non-cash benefit value of 6 euros is considered tax-free and enables employees to receive meals in restaurants or canteens of their choice. These meal allowances can be used flexibly and give the team more freedom in their choice of meals.
On the other hand, the mobility budget is an alternative option. Employees can use this budget to facilitate their professional mobility. They have the option of using the budget to cover travel costs or other means of transport such as public transport or bicycle leasing. This eliminates the need to cover their own commuting costs and can be a convenient solution for commuters.
When comparing meal allowances and mobility budgets, it all depends on individual needs. One advantage of the meal allowance is that it is directly related to catering and therefore has a direct positive effect on employees' everyday lives. The mobility budget, on the other hand, offers greater flexibility in terms of different transport options and can be particularly attractive for commuters.
The special thing about the mobility budget: mobility affects everyone. All employees are mobile, whether they are travelling to the office or working from home. That's why a mobility budget is the only democratic benefit for employees that benefits everyone in the company.
Ultimately, the best choice of modern employee benefit depends on various factors. It's important to consider both the pros and cons of the options and match them to your own needs. Whether you opt for a meal allowance, a mobility budget or a combination of both: Both benefits have the potential to make your everyday working life easier and increase your satisfaction at the company.
