Where payments are made to employees in the form of goods or
facilities which are regarded as part of wages, the reasonable cost to
the employer or the fair value of such goods or of furnishing such
facilities must be included in the regular rate. (See part 531 of this
chapter for a discussion as to the inclusion of goods and facilities in
wages and the method of determining reasonable cost.) Where, for
example, an employer furnishes lodging to his employees in addition to
cash wages the reasonable cost or the fair value of the lodging (per
week) must be added to the cash wages before the regular rate is
determined.
[46 FR 7310, Jan. 23, 1981]
