Average Fringe Benefit Rate 2025

Average Fringe Benefit Rate 2025. The provisional rates approved in the fy 2025 agreement are effective july 1, 2024 and remain in effect until the fy 2026 rates are negotiated with dhhs. A fringe benefit rate is a percentage that results from dividing the cost of an employee’s fringe benefits by the wages paid to the employee for the hours actually worked.

Taxpayers will have to play by new tax rules in 2025 and,. To calculate the fringe benefit rate, first determine the total cost of all taxable fringe benefits that your employee receives.