Purchasing power bonus

Companies that achieved good results during the crisis have the possibility to award a purchasing power bonus of up to 750€ to their employees in 2023.

This purchasing power bonus benefits from advantageous social and fiscal treatment and is not taken into account for the wage norm.

The purchasing power bonus is awarded in the form of (electronic or paper) consumption vouchers. It can be issued from 1 June 2023 until 31 December 2023.

UPDATE! The final payment date of the purchasing power bonus in the form of consumption vouchers is extended by 3 months until 31 March 2024. There is no change to the deadline for the decision to award a purchasing power bonus (arising of the entitlement), which remains 31 December 2023. For more info see our Infoflash on this topic.

Treatment on a social security level

Provided certain conditions are met, the purchasing power bonus is not subject to the ordinary social security contributions. However, a special contribution will be payable by the employer.

Conditions

The purchasing power bonus is not subject to (personal and employer) social security contributions if the following conditions are met:

 Purchasing power bonus in the form of electronic or paper consumption vouchers

• The award of the purchasing power bonus must be provided for in a collective bargaining agreement (CBA) concluded at sectoral or company level.

If such a CBA is concluded at the level of a joint committee (or subcommittee), it must, in order to be legally valid, contain two definitions based respectively on high profits in 2022 and exceptionally high profits in 2022, thus delimiting companies where good results have been achieved during the crisis.

• • The purchasing power bonus of up to 500€ can only be awarded in those companies that have achieved a high profit in 2022.
  • The purchasing power bonus of up to 750€ can only be awarded in those companies that have achieved an exceptionally high profit in 2022.

UPDATE! Numerous joint committees now stipulate that a purchasing power bonus must be awarded. You can always find this information in our sector documentation, which we update each time we are in possession of a final regulation.  Please contact your payroll consultant if you have any questions about this topic or if you think your company falls under the sector requirements for the award of a purchasing power bonus. For more info see our Infoflash on this topic.

If such a CBA is concluded at company level, it must contain a justification that it is a company where good results have been achieved during the crisis.

If a CBA cannot be concluded due to the absence of a trade union delegation or if it concerns a category of staff that is not normally covered by such a CBA, the award may be governed by an individual agreement. This agreement must be in writing and the amount of the purchasing power bonus may not be higher than that provided for in the CBA in the same company.

• The (sectoral or company) CBA or the individual agreement must mention the maximum nominal value of the consumption voucher with a maximum amount of 10€ per voucher;
• The consumption voucher must be issued in the employee’s name. This condition is deemed to be fulfilled if the awarding of the voucher and the total amount of the vouchers are recorded in the employee's individual account;
• The total amount of the purchasing power bonus (i.e. the various consumption vouchers) awarded by the employer may not exceed 750€ per employee;
• The purchasing power bonus can be issued from 01.06.2023 until 31.12.2023;
• The purchasing power bonus cannot be exchanged partially or totally for cash.
• The choice of a purchasing power bonus on paper is regulated by a CBA. If such an agreement cannot be concluded due to the absence of a trade union delegation, or if it concerns a category of personnel for which it is not customary to provide for such an agreement, the choice for a purchasing power bonus on paper shall be regulated by an individual written agreement.

Purchasing power bonus in the form of electronic consumption vouchers

The purchasing power bonus in the form of electronic vouchers must also meet the following conditions:

• The number of electronic consumption vouchers and their gross amount must be mentioned on the pay slip;
• The electronic consumption vouchers must be provided by an approved publisher;
• Before using the electronic consumption vouchers, the employee must be able to check the balance and the period of validity of the vouchers that have been awarded to him or her and that have not yet been used;
• The use of electronic consumption vouchers may not entail any cost for the employee except in the event of theft or loss of the payment card; the conditions for the employee's contribution must be laid down:
  • by a CBA concluded at sector or company level;
  • or by the work regulations if the choice for electronic consumption vouchers is regulated by an individual written agreement.

• In no case may the cost of the replacement card exceed:
  • the nominal value of a meal voucher if electronic meal vouchers and electronic consumption vouchers are awarded in the company;
  • 5€ if only electronic consumption vouchers are awarded in the company.

• The electronic consumption vouchers are deemed to be awarded to the employee at the moment when his/her purchasing power bonus account is credited.

The electronic consumer voucher is valid until 31.12.2024 and can be used:

• for the payment of meals or for the purchase of ready-to-eat food, or;
• for the purchase of ecological products and services included in the list annexed to CBA no. 98 (i.e. the list of products and services that can be paid for with eco-vouchers).

Purchasing power bonus in the form of paper consumption vouchers

Specific information is required on the consumption voucher if the purchasing power bonus is awarded in the form of paper consumption vouchers:

• The indication that it is valid until 31.12.2024;
• The indication that it can only be used:
  • for the payment of meals or for the purchase of ready-to-eat food, or;
  • for the purchase of ecological products and services included in the list annexed to CBA no. 98 (i.e. the list of products and services that can be paid for with eco-vouchers).

If this information is not indicated on the paper consumption voucher, the purchasing power bonus is subject to the ordinary social security contributions.

Special employer contribution

The employer is liable for a contribution of 16.5% on the amount of the purchasing power bonus awarded to his employees.

Treatment on a tax level

The purchasing power bonus that does not qualify as remuneration for social security purposes is exempt from income tax up to a (non-indexable) amount of 750€.

If an employee receives purchasing power bonuses from more than one employer in 2023 and the total amount of these purchasing power bonuses exceeds 750€, the part exceeding 750€ will nevertheless constitute taxable income.

Exception: A purchasing power bonus awarded to a self-employed company director is not exempt.

Sources: Royal Decree of 23 April 2023 on the purchasing power bonus, Belgian Official Gazette 28.04.2023; Act of 24 May 2023 laying down measures concerning wage negotiations for the period 2023-2024, Belgian Official Gazette 31.05.2023.