Map of Blajan on Finally, employers generally receive lower rates on employee benefits such as health or life insurance due to scale economies. Causes of fringe-benefit growth. Since WORLD WAR II, fringe benefits have increased significantly. In 1929, they represented less than 3 percent of total compensation, by 2003 they represented approximately 27 percent. The basic economic force driving this growth has been the growing tax advantages of fringe-benefit payments to both employees and employers.
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To begin, high inflation rates increasingly pushed wage earners into higher and higher tax brackets. For example, in 1961 only 10 employee benefits 243 For most Americans, the most important employee benefit (or fringe benefit) is employer-sponsored health insurance. Map of Blajan 2016.
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