In Canadian payroll, a benefit generally means the employer has provided something of value to the employee (or paid for something on the employee’s behalf), rather than paying cash for work performed. The CRA’sEmployers’ Guide – Taxable Benefits and Allowances (T4130)explains that a benefit/allowance may be provided in cash (for example, an allowance) or in a manner other than cash (for example, a parking space or gift), and that employers may have to include the value of that benefit/allowance in the employee’s income depending on the circumstances.

Option C best captures this “value of something provided or paid for” concept. Option B describes wages/salary (earnings for work). Option A aligns more with reimbursements/expense coverage. Option D aligns with allowances for business use of personal property (often treated separately and may be taxable or non-taxable depending on CRA rules and documentation). Payroll’s role is to determine whether the benefit is taxable, value it correctly, and apply the right statutory withholdings and reporting.