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Meal Program payments, subsidies, and taxes

Learn how Meal Program payments, company subsidies, out-of-pocket costs, and sales tax work so you can order your next meal with ease

👤 Who is this for? Meal Program Admin or Eater roles

How Meal Program payments work

Your company sets up a meal schedule and decides how much to contribute toward your food. You choose your meal and place your order using the app or website.

  • Your employer's subsidy automatically applies at checkout based on their custom program rules

  • You only pay out of pocket if your order total goes over the subsidy amount or includes uncovered costs

How company subsidies cover your meal

Subsidies are the money your employer contributes toward eligible orders, usually averaging around $12 to $15 per meal. Depending on your company's setup, the allowance can cover:

  • Food items up to the set allowance limit

  • Full or partial order totals

  • Note: Subsidies are not applied to delivery fees or tips. The company pays the standard $25 Meal Program delivery fee and the tip.

When you pay out of pocket

You’ll need to add a personal payment method if your order goes over the covered limits. You'll cover the remaining balance for:

  • Menu items or add-ons that exceed the meal allowance

  • Uncovered sales taxes or fees

Example: If you have a $15 subsidy and buy an $18 meal, your company covers $15 and you'll just pay the remaining $3 plus any uncovered fees.

Sales tax and tax exemption

  • Sales tax depends on your location, local marketplace-facilitator tax laws, and account tax settings.

  • If your organization has an approved tax-exemption certificate on file, tax won't apply to qualified company-paid items. However, if you pay for part of an order out of pocket, state tax laws may treat your personal payment separately, which means sales tax could show up on your share of the checkout total.

  • Admins tax exemptions and will upload a company's state tax-exempt certificates directly in your company account.

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