Flexible compensation is considered a delivery of a product or service to the employee, and therefore must be reflected in the payroll as an amount both received and paid by the employee.
As an example, we’ll use the following payslip:
What should be reflected?
In the "earnings" section (what the employee receives), you should include:
Each benefit usage from the month under the concept “Product”, along with its total amount.
Examples: meals, transport, childcare, training, health insurance.
This represents the value of the products or services consumed by the employee through the Coverflex card.
How is the employee’s contribution registered?
Within the same earnings block, an adjustment should be made:
Add the same concept (“Product”) as “Employee contribution” with a negative value.
This shows that the employee is paying for those benefits through their payroll. This adjustment prevents these amounts from being added to the gross salary, since they are not monetary income but in-kind payments.
What appears in the deductions section?
In the deductions block, you should include:
A concept labeled “in-kind discount” corresponding to the total sum of the benefits consumed.
This reflects that the company has advanced this money to the employee (e.g., via the Coverflex card), and is now deducting it from their payslip.