Meal Vouchers in Luxembourg: Everything That Changed in 2024
In 2024, meal vouchers, or restaurant tickets, remain the preferred benefit for nearly one in five employees in Luxembourg, providing them with a financial boost for their meals. Several significant changes have been made to this system, aimed at improving the efficiency and utility of this benefit. Here is an overview of the changes and their implications for both employees and employers.
What Changes for Meal Vouchers in Luxembourg in 2024 and 2025
Increase in the Face Value of Meal Vouchers
One of the most significant changes regarding meal vouchers for 2024 has been the increase in their face value. The maximum value has increased from €10.80 to €15. This increase is expected to provide employees with additional financial benefits when using their meal vouchers.
Increase in Tax-Exempt Amount
Alongside the increase in face value, the tax-exempt amount for meal vouchers has also been raised. The new maximum exemption value increased from €8 to €12.20 on January 1, 2024. Employees can now receive higher-value meal vouchers without additional tax impact, with their personal contribution remaining fixed at €2.80.
Digitalization of Meal Vouchers in Luxembourg: No More Paper by 2025
To simplify administrative procedures for companies and employees, meal vouchers must now be issued and used in digital form. This digitalization aims to facilitate the management of meal vouchers and improve their traceability. It also makes them easier for employees to use through cards and mobile applications, while reducing the risk of loss, theft, or fraud associated with paper vouchers. Digital meal vouchers remain valid for 12 months, just like their paper predecessors. The digitalization of meal vouchers will be gradual, with the complete transition to digital required by January 1, 2025.
Updates to the Terms of Use for Meal Vouchers in Luxembourg in 2024
Definition of a Meal
The definition of a meal has been expanded. It now includes not only meals consumed in restaurants but also food purchases made from merchants affiliated with one of the meal voucher issuing companies. This change reflects the evolving eating habits of employees and allows for a broader use of meal vouchers.
Definition of a Workday
Another major development concerns the flexibility of meal voucher usage. It is now possible to use them at the end of the day, on weekends, or during holidays. Previously, meal vouchers had to be used during lunch breaks and only on working days.
Increase in the Number of Meal Vouchers Usable Per Day
The limit on the number of meal vouchers usable per day has been extended to five, corresponding to a maximum value of €75 per day for vouchers with a unit value of €15. With the expanded definition of a meal and workday, this increase offers employees more freedom to manage their food expenses.
What Are the Impacts for Employers and Employees ?
For companies, the digitalization of meal vouchers represents a simplification of administrative procedures. Similarly, the increase in the maximum amount and the tax-exempt amount make meal vouchers, and any company that offers them, even more attractive to potential employees. Employers who have modified their management of meal vouchers are advised to update their internal policies related to social benefits to reflect these changes. However, it is important to note that there is no obligation for employers to grant meal vouchers or increase their value.
For employees, they directly benefit from the increase in face value and tax exemption, which improve their purchasing power. The increased flexibility in the use of meal vouchers is also a significant advantage, as is the ease of use associated with digitalization.
Conclusion
The changes made to meal vouchers in 2024 in Luxembourg represent a significant improvement for both employees and employers. With an increased face value, more generous tax exemption, and digitalization facilitating management, meal vouchers are more advantageous than ever. It is crucial for employers and employees to adapt to the new rules and fully understand the new terms of use to maximize the benefits.