BIK
Business & Finance abbreviation · Human Resources
| Stands for | Benefit in kind |
|---|---|
| Categories | Business & Finance |
BIK stands for Benefit in kind, a human resources abbreviation.
Non-cash benefit that a UK employer provides to an employee, such as a company car, private medical insurance or a low-interest loan, which is taxable as income. Benefits are usually reported on Form P11D or processed through payroll.
Example: An electric company car keeps the BIK charge very low compared with a petrol model.
Usage notes
Company car BIK is calculated as a percentage of the car's list price based on its CO2 emissions, which has driven strong uptake of electric vehicles through salary sacrifice schemes. Employers pay Class 1A National Insurance on benefits in kind.
Related abbreviations
More human resources abbreviations
- AA – Affirmative action
- ALE – Applicable large employer
- ATS – Applicant tracking system
- BFOQ – Bona fide occupational qualification
- C&B – Compensation and benefits
- C2C – Corp-to-corp
- C2H – Contract-to-hire
- CBA – Collective bargaining agreement
- CIPD – Chartered Institute of Personnel and Development
- COBRA – Consolidated Omnibus Budget Reconciliation Act
- CPH – Cost per hire
- CTC – Cost to company