If you have background on that element, then, adding padding would be useless.
So, in this case, you can use background-clip: content-box; or outline-offset
Explanation:
If you use wrapper, then it would be simple to separate the background from border. But if you want to style the same element, which has a background, no matter how much padding you would add, there would be no space between background and border, unless you use background-clip or outline-offset
