Valuation of Goods and Services

PURPOSE: This rule provides for the valuation of those types of goods and services which may be received by the employee and credited by the employer in payment of the minimum wage. (1) The fair market value of meals, lodging, and other goods and services may be deducted by the employer as a credit toward the payment of the minimum wage to the employee so long as the meals, lodging, and other goods and services are voluntarily received by the employee for the private benefit of the employee. (2) The following is an illustrative, but not exhaustive, listing of goods and services which are not considered to be for the private benefit of the employee and whose fair market value may not be deducted by the employer as a credit toward the payment of the minimum wage to the employee: (A) Tools; (B) Equipment; (C) Uniforms, including, but not limited to, garments such as suits, dresses, aprons, and all other garments whatsoever as worn by the employees as a condition of employment. This apparel of a similar design, color, or material, or forming part of the decorative pattern of the establishment or distinguishing the employee as an employee of the concern is presumed to be worn as a condition of employment; (D) Laundry or cleaning of uniforms; (E) Maintenance of tools, equipment, or uniforms; (F) Breakage or loss of tools, equipment, or uniforms; (G) Any other item required by the employer to be worn or used by the employee as a condition of employment; and (H) Transportation furnished to the employee where that transportation is an incident of and necessary to the employment, such as travel costs of railroad maintenanceof-way workers. (3) The following is an illustrative, but not exhaustive, listing of goods and services which are considered to be for the private benefit of the employee and whose fair market value may be deducted by the employer as a credit toward the payment of the minimum wage to the employee: (A) Meals; (B) Lodging; (C) Tuition furnished by a college to its student employees; (D) Merchandise furnished at company stores and commissaries; (E) Fuel (including coal, kerosene, firewood, and lumber slabs); (F) Electricity, water, and gas furnished for the noncommercial personal use of the employee; and (G) Transportation furnished to employees between their homes and work, where the transportation is not necessary to the employment. AUTHORITY: sections 290.512, 290.515, and 290.517, RSMo 2016.* Original rule filed July 22, 1992, effective Feb. 26, 1993. Amended: Filed June 19, 2018, effective Jan. 30, 2019. *Original authority: 290.512, RSMo 1990, amended 2006; 290.515, RSMo 1990, amended 2006; and 290.517, RSMo 1990, amended 2006.