Bookkeeping – Other Employer Provided Benefits (Lesson 93)
Other employer provided benefits are composed of three groupings of benefits: welfare, other (Life Insurance, Auto & Education) and fringe.
Month: February 2018
Return on Equity
Another performance ratio used in business is return on equity. It is similar to return on assets except return on equity uses one section of the bottom half of the balance sheet.
Bookkeeping – Cafeteria Plans (Lesson 92)
Cafeteria plans, a.k.a. Section 125 plans, are employer sponsored benefit packages that allow employees to choose from a menu of options and allocate their allotted share to the items they pick. With this type of plan the employer agrees to an allowance per employee to contribute to the package. The employee may either take the allowance as additional cash income (fully taxed) or allocate the amount among the various benefit options.
Bookkeeping – Health Savings, Reimbursement and Flexible Spending Accounts (Lesson 91)
One of the drawbacks to the health insurance mandate for small business employers is the cost of the premium for the plan. To alleviate and reduce the cost of these premiums, employers provide alternatives in the form of health savings, reimbursement and flexible spending accounts.