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- An allowance is a fixed amount of money given to someone for a specific purpose123.Examples of allowances include1243:
- Transport allowance: money paid to employees to compensate for the cost of travel for business using their own vehicle or public transportation.
- Travel allowance: money paid to employees to cover the expenses of traveling for work, such as accommodation, meals, and flights.
- Entertainment allowance: money paid to employees to reimburse them for the cost of entertaining clients or customers.
- Housing allowance: money paid to employees to help them pay for their rent or mortgage, especially if they relocate to a different city or country for work.
- Tool and equipment allowance: money paid to employees to purchase or maintain the tools and equipment they need for their job.
- Uniform allowance: money paid to employees to buy or clean the uniform they wear for work.
- Medical/health allowance: money paid to employees to cover the cost of medical or health services or insurance.
- Allowance for children: money given by parents to a child every week that the child can spend.
Learn more:âś•This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.Types of allowances
- Transport allowance This includes expense allowances paid to employees to compensate for the cost of travel for business using their own vehicle, or by other means such as public transportation. ...
quickbooks.intuit.com/global/resources/accounting/…An allowance can be calculated based on distance, time or something else, such as a motor vehicle allowance using the distance driven or a meal allowance using the type and number of meals per day.www.canada.ca/en/revenue-agency/services/tax/b…An allowance is also money given by parents to a child every week that the child can spend. an allowance for sth/to do sth Some companies will even give their telecommuting executives an allowance to buy office furniture for their home. Employees relocating to London receive a maximum allowance of £1000 a year.
dictionary.cambridge.org/us/dictionary/english/allo…Some of the allowance specifications defined include grading, weight, quality, deficiencies, salt content, and bean count.www.investopedia.com/terms/a/allowances.asp - People also ask
What are allowances? Types and examples - QuickBooks
In business, an allowance is a payment made to an employee to cover expenses or compensate for specific working conditions. For example, many employees are given an allowance to pay for the cost of travel or entertainment. Allowances can also be compulsory for employees in certain situations. See more
Taxable allowances refer to any allowances that are taxed in the same way as an employee’s regular salary. As a general rule of thumb, most employee … See more
Most allowances are taxable, but there are some exceptions. For example, in some countries, transport allowances are non-taxable up to a certain … See more
Whether you need to set up an allowance for employees on an ongoing basis or as a one-off, the quickest and easiest way to do the job is by using accounting … See more
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WebNov 6, 2023 · Here are some examples of allowances employees can claim: One deduction for each qualifying child under 17. One deduction for each other dependent.
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