Employees who have not fully used their mobility budget at the end of the year, will receive this amount in pillar 3. How does this work exactly?
An expense 'Pillar 3 cash-out' is added for the remaining amount. You will see it appear in the overview of your employees' expenses.
What do you have to do?
We take care of this. At the end of the year, we create the cash-out for pillar 3. We do this mid-January, so your employees have some extra time to enter forgotten expenses from the past year.
Every year, we send out a reminder with the exact date on which this cash-out will be created.
All you have to do is send the cash-out expense to payroll at the end of the month like all the other expenses. The amount you see in this expense is before taxes. Pillar 3 is taxed at a special employee contribution of 38.07%.
💡 Tip: let your employees know in time that they need to add their final expenses before the cash-out date.
💡 Tip: let us know before the end of the year which employees will no longer be entitled to a mobility budget the following year.
❗️ Note: once the cash-out is created, employees can no longer add expenses to that year's budget. So let your employees know that they have to enter all their expenses before mid-January on a date in the past year.