To become a successful enterprise, a business must retain good employees, maximize its return on any investments, and make the most of allowable tax deductions. One interesting way to accomplish all three of these goals is to provide onsite food service to your employees.
Whether you provide morning coffee and bagels or an all-day cafeteria for your workers, you're creating an environment of trust and engagement. The benefits are well-documented:
Keeping your best employees happy strengthens your business health
Engagement is the key to retaining your best and brightest workers. When an employee truly cares about the quality of their work and your business success, they are engaged and committed to your enterprise. Reward their diligence and loyalty by nurturing them the same way they nurture your productivity goals.
Not only do onsite employee meals provide them with the nourishment they need to keep alert and focused during their working hours, the sense of togetherness inspired by common meals and dining areas fosters warm relationships and builds happy memories for your workers. Creativity and teamwork flourish when employees feel connected.
The return on a food service investment is substantial
When it comes to offering extra perks to keep your employees happy, one choice will give you a 150% return on investment. According to a recent study, that's the ROI employers can expect to see when they begin to offer onsite meals for their staff.
It makes sense when you consider that productivity increases when employees aren't spending their lunch hours stressed out as they sit in traffic, finally reaching their fast food outlet choice only to have ten minutes left in which to wolf down a less-than healthy meal. Whether your facility is located in an overcrowded area with nothing but fast food restaurants or is stuck in a remote area with no restaurants at all, having onsite breakfast and lunch available for your staff frees your employees from those frantic lunches and allows you to provide them with healthier alternatives to typical fast food lunches.
Employee meals are tax deductible
If you're a small business you may deduct the cost of meals that you provide your employees. Up to 100% of the cost of the meals can be deducted depending on whether the meals are considered a fringe benefit or are necessary for you to conduct your business. In most cases, your employees will owe no tax on employee meals and you are not required to deduct any payroll taxes for the benefit.
Larger businesses may deduct up to 50% of meals in most cases, but they may deduct all of the cost in some situations. If you are required to provide meals (in an offshore location, for example), then you may deduct all of the expenses associated with the meal service. If meals are considered a fringe benefit or wage, you may also deduct the cost. Of course, you should always check with a qualified accountant and tax attorney to be certain of how much you may deduct for your specific business meal plan.
Having onsite meals is a boon for your employees and your business. You don't have to build a cafeteria from scratch, since there are food service management companies that will set up a system for you. If you don't presently have room for a food service area, contract food management companies can provide boxed lunches or food trucks with hot meals.
Nourish a quality workplace with fresh onsite food choices for your treasured employees, and you make your business healthy too.Share