Benefit in Kind on Medical Insurance

 In the case of medical insurance premiums, the cost to the employer is based on the Gross invoiced premium before TRS (Tax Relief at Source). The employer refunds the TRS to Revenue.

Processing Benefit in Kind on Medical Insurance (One-Off) in BrightPay

To access this utility go to Employees, select the employee in question from the listing and click 'Expenses & Benefits' on the menu toolbar, followed by 'Add' > choose 'Medical Insurance (One-Off)'

1) Description - enter a description of the medical insurance e.g. provider name.

2) Premium – enter the premium amount of the medical insurance being provided.

3) Date - enter the date that the benefit has been provided.

4) Employee contribution - enter any amount made good by the employee directly to the employer towards the cost of providing the medical insurance.

5) Click Save to save the Benefit In Kind entry.

The 'Notional Pay' will be added to the employee's gross income in the relevant pay period to ensure that the correct PAYE, Universal Social Charge and PRSI are charged. 

Note: If the employee is paying towards the benefit, this can be applied as a net deduction on the employee's payslip.