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Voluntary Benefits

Meaning & Definition

Voluntary Benefits

Voluntary benefits are employee benefits paid for by the employee rather than the employer, although the employer will pay for the administration of the scheme. The money is often deducted from the employee’s salary for the sake of simplicity, although it isn’t always. Voluntary benefits are often provided by a third-party benefits provider. Voluntary benefits allow employers to provide a greater package of options to employees but without the cost associated with providing paid-for benefits.

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