12 Effective Methods To Encourage Employees To Use Their Benefits
- Communicate The Benefits Regularly. Oftentimes, employees only think about their benefits during open enrollment or...
- Ask And Act On Employee Feedback. Regular surveys provide an understanding of how employees feel by gathering...
- Know Your Audience. Companies should first ask their employees...
Full Answer
How to help employees make the best use of benefits?
5 Ways to Help Employees Make the Best Use of Benefits 1. Help them understand what’s being offered. 2. Make plans customizable to meet individual needs. 3. Offer ancillary benefits to boost financial security. 4. Talk about benefits outside of open enrollment. 5. Make it easy to sign up.
What is considered a benefit from an employer?
Basically, any kind of non-wage gain attached to an employee’s position can be classified as an employee benefit, be it mandatory or voluntarily given by an employer. Why do employers offer benefits to employees?
How do you get employees to participate in a benefits program?
Yet, with the right communication, employees will be more inclined to participate in a benefits program. MetLife found 45 percent of employees said their companies’ benefit communications helped them understand the specific services for which they’re paying and effectively educated them about options.
What benefits do job seekers want in the workplace?
Younger employees and job seekers are desiring benefits that are not traditional in the workplace. Benefits weigh heavily on employment decisions. Top benefits among job seekers are health care, wellness, retirement, and flexible schedules.
How do you take advantage of benefits at work?
3 ways you can help employees take advantage of their benefitsAuthorize Health Savings Account integration with your retirement plan. Many employers provide a Health Savings Account (HSA). ... Offer Volunteer Time Off (VTO) ... Encourage employees to use automatic annual increase features.
How does a job with benefits work?
What are employee benefits? Employee benefits are a form of compensation offered in addition to a salary or wages. Common non-wage benefits include medical, disability, and life insurance, retirement savings, paid time off, and sick leave. In the US, the IRS excludes many benefits from an employee's taxable pay.
What are examples of work benefits?
Here is a list of popular employee benefits in the United States:Health insurance.Paid time off (PTO) such as sick days and vacation days.Flexible and remote working options.Life insurance.Short-term disability.Long-term disability.Retirement benefits or accounts.Financial planning resources.More items...•
What are 5 examples of benefits?
Here are the most common employee benefits:Health insurance.Disability insurance.Dental and vision insurance.Life insurance.PTO/paid holidays.Retirement planning.Family leave.Remote work or flexible schedules.More items...•
How do I ask for benefits at work?
Request a Total Package In fact, experts say, it's a mistake to ask one at a time for perks like permission to work remotely, a company car or a corner office. The best way to get the benefits you want is to think holistically about your compensation package from the very beginning and make all your requests at once.
What benefits should I ask for?
Consider hiring bonuses, vacation time, retirement plans, sick leave, insurance, and other company benefits as open for negotiation as well. If you are planning to go back to school, tuition reimbursement may be just as important as health insurance.
What are the 4 types of benefits?
What are the four major types of employee benefits? These include medical, life, disability, and retirement. Here is a closer look at these employee benefits and why they are often offered by business owners.
What employee benefits mean?
Employee benefits are defined as the non-wage compensation provided to employees by an organization in addition to their normal salaries or wages. These benefits may include, group insurance (health, dental, life etc.)
Why are benefits important in a job?
A good benefits package can make employees feel rewarded and appreciated for their work. Benefits also provide support to an employee's family, health, and financial future which can help attract and retain top talent.
What are the 5 types of employee benefits?
Here is a list of the top five types of benefits employers can offer to employees - each can be a valuable tool for recruiting and retaining employees.1) Health Benefits. ... 2) Retirement. ... 3) Workplace Flexibility. ... 4) Wellness Program. ... 5) Tuition Reimbursement.
What benefits do employees value most?
The most sought-after employee benefits are:Paid time off. ... Flexible hours. ... Paid family leave. ... Four-day work week. ... Free food in the office. ... Student loan assistance. ... Pet insurance/pet friendly offices. ... Fitness perks. Gyms and yoga studios have certainly struggled during the pandemic.More items...
What are the most common types of employee benefits?
The most common benefits are medical, disability, and life insurance; retirement benefits; paid time off; and fringe benefits. Benefits can be quite valuable. Medical insurance alone can cost several hundred dollars a month. That's why it's important to consider benefits as part of your total compensation.
What is employer provided life insurance?
Employer-provided life insurance is meant to compensate your survivors for your lost wages and income should you die while employed in your new job. If you are single and not supporting anyone else, you may not require life insurance.
What to do if you don't understand your pension?
If you are offered a benefit that you do not understand, companies usually have websites set up to explain what they offer. If not, check with human resources or the benefits administrator.
What is MEWA in business?
Some services may be offered through a Multiple Employer Welfare Arrangement (MEWA), where a small business may group with other small businesses to provide benefits to their employees. Be sure to check how soon your benefits become effective. Health insurance or 401 (k) benefits may not start immediately.
Can employers match employee contributions?
Many employers match employee contributions up to a certain amount, based on how much you contribute annually. Not taking advantage of an employer match is the equivalent of leaving "free money" on the table.
Can I contribute to 401(k) for retirement?
The IRS allows you to contribute up to a set maximum, which changes from year to year. Many experts agree that it is best to contribute as much as you can afford right away instead of going back and trying to catch up later when you are already accustomed to a bigger budget. In the future, you'll be glad that you did. 1
What are employee benefits?
Employee benefits are a form of compensation offered in addition to a salary or wages. Common non-wage benefits include medical, disability, and life insurance, retirement savings, paid time off, and sick leave.
The importance of employee benefits
The monetary cost of offering competitive benefits can be high for an employer. But, the actual value they provide is higher in the long run.
The difference between mandatory and non-mandatory employee benefit plans
Mandatory benefits are required by law. Non-mandatory, or discretionary, benefits are designed to increase loyalty and job satisfaction and appeal to prospective employees.
Types of employee benefits
An employer might offer on-site childcare facilities. Some allocate specified dollar amounts for child and elder care. Other companies offer programs so that employees can set aside funds for these expenses from pre-tax pay.
How to develop an employee benefits plan
You want to design unique and appealing benefits packages for your workforce. There’s no shortage of possibilities. But it’s important to put them together in a clear and helpful way. Finally, make sure employees understand what’s available to them.
What are the benefits of unemployment?
As long as the employee shows that they are actively seeking a job, they will receive such benefits as food stamps, healthcare of some sort, or monetary assistance to help pay for utilities and other necessities.
What are the benefits of wellness?
Wellness benefits like gym memberships and discounts on athletic gear, fitness trackers, and healthy foods help your employees stay fit and active — healthy employees are productive employees, after all.
How long can I work with Social Security Disability?
Social Security Disability is a program run by the federal government that allows an employee to receive social security if they are over the age of 18 and are unable to work for more than 12 months because of a medical condition.
How many hours do you have to work to get overtime pay?
Overtime Pay. Federal law mandates that an employer must pay at least 1.5 times (time-and-a-half) an employee’s standard wage for any time over 40 hours they work in a given week.
Why do businesses offer half hour breaks?
Most businesses offer at least a half-hour break in the middle of the workday so employees can eat, relax, and prepare themselves for the rest of the day. Some businesses continue to pay employees during this break, while others don’t.
Is there overlap between fringe benefits and common benefits?
There’s a bit of overlap when it comes to common and fringe benefits, but it’s not about which benefits you do or do not offer. Instead, the important point to consider is how those benefits affect your employees and your business.
Is compensation mandatory?
As you’ll see in the next section, compensation is a benefit of sorts, but it’s basically mandatory when it comes to hiring and retaining employees. Having said that, benefits typically fall into one of three categories: Mandatory. Common. Fringe.
What are the benefits of an employee?
Employee benefits include non-wage compensation in addition to regular salary. Various types of employee benefits typically include medical insurance, dental and vision coverage, life insurance and retirement planning, but there can be many more types of benefits and perks that employers choose to provide to their employees.
When will the benefits package be available for 2021?
February 22, 2021. Most employers offer employee benefits packages, which can include basic health coverage and retirement planning. In addition to basic health coverage, employers offer a variety of other perks, depending on the nature of their companies. It can be worthwhile to find out what your employer offers in terms of benefits packages, ...
What is vacation time accrual?
Employees who have vacation allowances accrue a certain number of hours each pay period, similar to paid time off allowances. The biggest difference between a PTO plan and paid vacation time is that PTO can be used for any kind of time off from work, whereas vacation allowance is only for employees to take a vacation or break away from work.
What are the options for retirement?
Several common retirement options employers offer include 401 (k) and IRA plans, 403 (b) retirement plans (especially if you're employed with a nonprofit), simplified employee pension (SEP) plans and more.
What is disability insurance?
Some employers may offer temporary disability insurance plans that provide income support to employees who have suffered an injury or illness outside of work. While disability benefits can vary between employers, many offer some form of short-term disability coverage in the event you're injured on the job.
Why do people invest in companies?
Investing in your company means you can benefit from its growth and profitability while increasing your personal net worth.
Does PTO increase with time off?
Typically, the amount of PTO increases by a set number of hours, which employees accrue each pay period . The number of hours accrued each period can vary between employers and is often determined by the length of time an employee has worked for their employer.
What percentage of employees say benefit communication helps them understand the specific services they’re paying?
Yet, with the right communication, employees will be more inclined to participate in a benefits program. MetLife found 45 percent of employees said their companies’ benefit communications helped them understand the specific services for which they’re paying and effectively educated them about options.
Can you get benefits from open enrollment?
Open enrollment can be a overwhelming time for both HR and employees. If employees have to wait too long, don’t receive the information they need, or feel the sign-up process is too complicated , they may obtain benefits elsewhere -- either as a dependant or by taking out their own personal plan.
Why do employees want to be present?
Employees want to be able to assist their families and be present for important events. They want to be able to take time if needed to take care of their loved ones that require help when sick or injured. Consider the changing needs of your employees as you develop your health care offerings.
What is defined benefit plan?
A Defined Benefit Plan, also known as a pension plan, is usually based on a formula or other method to determine employee retirement pay.
What are the benefits of preventive health and wellness?
Providing preventive health and wellness programs for employees helps employers keep a workforce productive and healthy.
Why is flexible scheduling important?
Flexible scheduling is beneficial to employers and employees alike, as it allows them both to get the most out of their workday while maintaining an adequate work-life balance.
What is relocation assistance?
Relocation assistance is a highly sought after benefit for candidates who are experienced and settled in a location and routine. Employees who are established are not as willing to move to take a new job or remain with a company that has decided to move its headquarters or offices to a new location.
What is a reasonable leave policy?
A reasonable leave policy will be attractive for employees and prospects. As you consider the amount of leave or paid time off you want to provide your employees, consider the age groups you have working for you. Goals become different as employees age, and as their lives change.
Why is health care important to employees?
Health care is the most sought after benefit of all employees. If an employee's health suffers, their ability to work will suffer. They need to know that their families health is taken care of as well. Employees want to be able to assist their families and be present for important events.
A List of 20 Awesome Employee Benefits
Did you know that 608,000+ people per month do a Google search on this type of phrase: “ [name of employer] benefits”? (Assurant, Walmart, Costco are the top 3 by the way). Candidates want to know the list of perks and benefits that big (and small) companies are offering.
A List of 20 Employee Benefits You Might Have Missed
Shared Leave — This benefit allows an employee to donate sick/vacation time to another employee in need. Shared Leave (sometimes called Leave Share) programs sometimes put the time donations into a pool. The University of Washington offers this.
Work toward a degree
Help paying for tuition, books, and housing at an institution of higher learning (like a 4-year university, community college, or graduate school)
Train for a specific career, trade, or industry
Reimbursement for the cost of tests to become a licensed or certified professional, or to apply for college or a training course
Work while you study
Help with paying for tuition, books, and housing if you’re part of a college or university co-op training program
Take classes from home
Funding for correspondence training (coursework completed by mail, online, or by some other device) if you want to take classes from home or live far from any schools
Plans
Health Insurance
- You may have to choose between a Health Maintenance Organization (HMO) and a Preferred Provider Option (PPO) for medical insurance. An HMO allows you to go to doctors that are contracted with a specific insurance company. If you have a specific doctor you like to use, ask to see the list of doctors on that plan or go to the HMO website to find a list of its providers. HMOs …
Life and Disability Insurance
- Employer-provided life insurance is meant to compensate your survivors for your lost wages and income should you die while employed in your new job. If you are single and not supporting anyone else, you may not require life insurance. If you have a family to support, you need to think about how much they would need to survive in the event of your death.3 Disability insurance, o…
Other Employee Benefits
- You may be wondering how your company benefits compare to those offered by other companies. Benefits can vary widely from company to company. The most common are listed above. You might also be offered some of the following: 1. Health savings account 2. Flexible spending account 3. Eldercarebenefits 4. Employee discounts 5. Wellness benefits 6. Counselin…
Withholding Taxes
- In addition to providing benefits, many companies withhold taxes for you and you'll need to fill out a form for that too. They know how much to take out based on your completed IRS W-4 Form. On this form, you will need to fill in your name, address, Social Security number, and how many allowances you want to claim.4 You are considered one allowance. If you are married, then yo…
Making Changes to Employee Benefits
- Many companies allow you to change your choices periodically. Often, your 401(k) contribution amount and investment choices can be changed on a fairly regular basis, but the medical and life insurance choices may be set up so that you can only change them once or year. Check with your benefits administrator if you think you need to make some changes. Making inappropriate choic…
The Bottom Line
- Many people make mistakes and inappropriate choices when filling out their benefits forms. Fortunately, you can still go back and make changes down the road. Younger employees may not require nearly as many insurance choices as an older employee. Younger employees also have an opportunity to build a substantial retirement nest egg. Regardless of age, it's always a good ide…