Fringe benefits are various non-wage employee benefits that are in addition to normal wages. Some fringe benefits are exempt from tax, provided certain conditions are satisfied. Section 132 of the Internal Revenue Code lists all the fringe benefits that are excluded from taxable income and the conditions for the exclusion.
Examples of fringe benefits are health insurance, life insurance, employee discounts, qualified parking, on-premises athletic facilities and certain meal plans.
[Last updated in January of 2022 by the Wex Definitions Team]