Cambro Construction Company hires union carpenters for home building. Cambro requires, as a condition of employment, that the carpenters provide and maintain various tools of their trade. Cambro pays each carpenter a set amount per hour as a “tool allowance” to cover the costs of the tools. This amount is deter-mined quarterly based on national compiled data on the costs of carpenters’ tools. How should this employee reimbursement be treated for tax purposes?