Rewards, Wellness Programs and HIPAA

[Guest benefitsdude6]

If an employer establishes a wellness program and offers a "reward" in the form of cash or cash equivlency (e.g., a gift certificate) is the reward includable in gross income?

Thanks in advance!

[oriecat]

Yes. There are very very few instances where cash or a cash equivalent is not taxable, and to my knowledge there is no exclusion for wellness benefits.

[Guest benefitsdude6]

That is what I thought. Thanks for the confirmation.