1. (a) A fringe benefit is any of the following:

   1. (1) A good or service for which the cost is paid to a third party or otherwise covered by the employer.
   2. (2) Compensation allocated to an employee to cover a personal or business expense that could otherwise be provided in the form of a good or service as specified in paragraph (1).
   3. (3) Cash in lieu of, or cash remaining from, a good or service as specified in paragraph (1).
2. (b) If any part of creditable compensation is restructured into a fringe benefit, that amount will not be considered creditable compensation beginning with the effective date of the restructure.

Note: Authority cited: Sections 22119.2 and 22305, Education Code. Reference: Section 22119.2, Education Code.

History

1. New section filed 11-18-2014; operative 1-1-2015 (Register 2014, No. 47).