How do we calculate the compensation paid by your company?
The concept of consumption made as a social benefit refers to the amounts that your company adds to your salary so that you can enjoy different benefits.
It is important to note that these consumptions can be either on both tax-exempt and non-exempt benefits.
In the case of consumption made on exempt benefits, the net compensation will be equal to the amount of the consumption. The reason is that this amount that is added to your gross salary is completely exempt. (See attached graphical illustration).
On the other hand, when it comes to social benefit consumption in non-tax exempt benefits, the net compensation will be calculated by subtracting the taxes associated with the consumption (See attached graphic illustration).
It is essential to understand that the purpose of these social benefit expenses is to provide you with greater advantages and conveniences in your work life.