Enterprise employees can enjoy welfare, what is employee welfare? What is not enterprise employee welfare? What benefits can enterprises normally distribute? Enterprises provide employees with welfare expenses other than wages, bonuses and subsidies. , as well as entertainment, fitness, tourism, etc. Shall not be listed as welfare expenses. What exactly is employee welfare? What are the welfare expenditures other than wages, bonuses and allowances? ? At present, there are no clear laws and regulations to make clear provisions on this, especially how to stipulate the employee benefits of party and government organs and institutions, which is still unclear. However, the relevant documents issued by the Ministry of Finance, the State Taxation Bureau and other departments describe the benefits that employees should enjoy. In 2009, the Ministry of Finance issued the Notice on Strengthening the Financial Management of Employee Welfare Expenses (hereinafter referred to as the Notice), which pointed out that the employee welfare expenses of enterprises refer to welfare expenses provided by enterprises to employees except wages, bonuses, allowances, subsidies included in the management of total wages, employee education funds, social insurance premiums, supplementary pension insurance premiums (annuities), supplementary medical insurance premiums and housing provident fund. However, the monthly housing subsidies, transportation subsidies, vehicle reform subsidies and communication subsidies paid by enterprises in the form of money are included in the total wages of employees and can no longer be included in the employee welfare fund. Does holiday allowance count as welfare? If the holiday subsidies paid by enterprises to employees are in the form of money, they must be included in the total wages as part of the subsidies. But if it is in kind, such as sending some rice flour oil to employees before the holiday, it should be included in the enterprise welfare expenses. At present, there is no clear definition of holiday subsidies in the form of shopping cards. But for employees, whether holiday subsidies are included in wages or welfare expenses, they are legitimate expenses of enterprises. What other benefits can the enterprise pay normally? According to the notice, employee welfare expenses include the following cash subsidies and non-monetary collective benefits: 1. Cash subsidies and non-monetary benefits for employees' medical care and living, including medical expenses for employees on business trips, medical expenses for employees in enterprises that have not yet implemented medical co-ordination, medical subsidies for employees to support their immediate family members, medical expenses for employees' recuperation, financial subsidies for running their own canteens or expenses for providing lunch in a unified way without running their own canteens, and supplies that meet the relevant financial regulations of the state. 2. Equipment, facilities and personnel expenses incurred by collective welfare departments within an enterprise that are not separated, including depreciation, repair and maintenance expenses of equipment and facilities of staff canteens, staff bathrooms, barbershops, infirmary, nurseries, sanatoriums, dormitories and other collective welfare departments, as well as wages, social insurance premiums, housing accumulation funds, labor expenses and other labor expenses of staff in collective welfare departments. 3 enterprises to co-ordinate the establishment and management of the difficulties of employees to help and relief subsidies or fund expenditures. 4. Overall expenses for retirees, including medical expenses for retirees and other overall expenses for retirees. 5. Other employee welfare expenses incurred according to regulations, including funeral subsidies, pension expenses, employee resettlement expenses, one-child expenses, family leave travel expenses and other expenses that meet the definition of enterprise employee welfare expenses but are not included in the provisions of this notice. In addition, from July 2065438 to July 2004, the All-China Federation of Trade Unions issued the Notice on Strengthening the Management of Funds Revenue and Expenditure of Grass-roots Trade Unions, which also made it clear that "the collective welfare expenditure of workers organized by trade unions is mainly used to distribute a small amount of holiday solatium, personal and family allowances for needy members and birthday condolences to members themselves on holidays. "What is not good? Entertainment, fitness, travel, etc. Can't be listed as welfare expenses. What benefits can't be paid? The notice issued by the Ministry of Finance in 2009 mentioned that Article 46 of the General Principles of Enterprise Finance stipulates that the following expenses that should be borne by individuals shall not be used as employee welfare expenses: 1. Entertainment, fitness, travel, entertainment, shopping, gifts, etc. ; 2. Purchase commercial insurance, securities, stock rights, collectibles, etc. ; 3. Fines and compensation caused by personal actions; 4. Buy a house and pay the property management fee; 5. Other expenses that should be borne by individuals. The All-China Federation of Trade Unions has also clearly informed trade unions at all levels in the country that it is not allowed to use trade union funds to buy shopping cards, vouchers, treat guests and give gifts; It is not allowed to use trade union funds to indiscriminately distribute allowances, subsidies and bonuses; Trade union funds cannot be used for high-consumption entertainment and fitness activities. Where does the employee welfare fund come from? According to the implementation regulations of the tax law, "employees' welfare expenses incurred by enterprises that do not exceed 14% of the total wages and salaries are allowed to be deducted. "Li Ruoshan explained that welfare expenses are extracted from the total wages and salaries of enterprise employees. As long as it does not exceed the upper limit of 14%, according to regulations, this expense is deducted before enterprise income tax." Why did many enterprises have high welfare in the past? First of all, the employee welfare expenses are listed separately, as long as they do not exceed the upper limit of 14%, they can be exempted from enterprise income tax; Secondly, employee welfare funds can be accrued in advance, spent during the year and remaining at the end of the period. These methods can help enterprises save costs, so in the past, many enterprises listed relatively high welfare expenses. "A senior auditor of a well-known accounting firm in our province said that China reformed corporate income tax around 2008, requiring no surplus at the end of the period, but still maintaining the upper limit ratio of 14%. Is there a mandatory rule? Employee benefits are not mandatory, and there is no need to spend employee welfare funds. It is not mandatory, and there is no need for enterprises to spend welfare funds for employees. Employee welfare funds are an auxiliary form for enterprises to pay employees' labor remuneration. Enterprises should reasonably control the proportion of employee welfare funds to the total income of employees with reference to the general historical level. " The tax authorities only stipulate that the upper limit of welfare fund extraction ratio is 14%, and there is no lower limit. "The above-mentioned senior auditors said that through the audit of a number of enterprises, in recent years, the proportion of total wages of enterprises used for employee welfare expenses has generally declined. The main reason is that the salary base provided by enterprises to employees has been expanding in recent years, and medical insurance and pensions can be deducted before tax. The increase of these projects makes the proportion of welfare funds paid by enterprises to employees decrease accordingly. In addition, among the welfare projects stipulated by the Ministry of Finance, welfare facilities such as staff bathrooms, barbershops and sanatoriums are becoming less and less with the diversification of enterprise systems. Auditors believe that since the eight regulations, some enterprises have reduced employee welfare expenses, and some enterprises, especially large state-owned enterprises, used to allocate welfare expenses under various excuses, which should be further standardized. However, welfare is an important way for enterprises to compensate employees for their labor, and it is also a way to maintain employees' sense of belonging and identity, and should not be abolished.