Miscellaneous Minor Cost "De Minimis" Fringe Benefits
You can exclude the value of a minor cost ( "de minimis") benefit you provide to an employee from the employee's wages. A de minimis benefit is any property or service you provide to an employee that has so little value (taking into account how frequently you provide similar benefits to your employees) that accounting for it would be unreasonable or administratively impracticable. Examples of de minimis benefits include the following. Occasional meal money and taxi fares for overtime work. Transportation fare. Occasional parties or picnics for employees and their guests. Occasional tickets for theater or sporting events. Personal use of an employer-provided cell phone provided primarily for noncompensatory business purposes. Holiday gifts, other than cash, with a low fair market value. Group-term life insurance payable on the death of an employee's spouse or dependent if the face amount is not more than $2,000.
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