Per the notice below, the United States Internal Revenue Service (IRS) has issued guidance on the tax treatment of employer work-life referral services.

Treasury, IRS issue frequently asked questions related to the tax treatment of work-life referral services provided to employees

The Internal Revenue Service today issued frequently asked questions (FAQs) in Fact Sheet 2024-13 related to the tax treatment of work-life referral services provided to employees under an employer’s work-life referral program.  A work-life referral program is an employer-funded fringe benefit that provides work-life referral services to eligible employees.  Work-life referral services are restricted to informational and referral consultations that assist employees with identifying, contacting, and negotiating with life-management resources for solutions to a personal, work, or family challenge.  For example, choosing a suitable child or dependent care program, connecting with a local retirement or financial planner, or navigating eligibility for government benefits.  The FAQs released today clarify that, under certain circumstances, the value of work-life referral services provided to employees through a work-life referral program can be excluded from income and employment taxes as de minimis fringe benefits.