Our latest white paper deals with athletic facilities. It is very common for employers to offer wellness programs to get or keep employees fit and healthy. Employers may offer the use of an onsite athletic facility or they may purchase gym memberships outright or subsidize a portion of the annual fee. No matter what is offered the taxability has to be determined to ensure compliance. It basically boils down to is the gym onsite or off. Onsite athletic facilities are normally nontaxable if the employee can use it before work, during work or after work. Memberships purchased outright or even subsidized are generally taxable income to the employee.