55% of employees would accept a position at a company with lower compensation for a more robust benefits package.[1] But how does one compile a more robust benefits package?
It is important to note that regardless of the size of your business, any organization can offer a substantial benefits package. A common misconception concerning small to medium-sized businesses is that they are unable to afford or will not even be considered for good benefit package offerings typically reserved for larger organizations.
In order to start offering better benefits, however, you need to make sure you have a good hold on your finances and have a strong financial planning foundation in place. In most cases, going without benefits for your employees may be a temporary cushion for your bottom line, the long-term effects will inadvertently keep your business from growing.
“Organizations that use benefits as a strategic tool for recruiting and retaining talent reported better overall company performance and above-average effectiveness in recruitment and retention compared with organizations that did not.”[2]
Partnering with a PEO can save businesses of any size from all the legwork of vetting providers and carriers, comparing plans, and pricing. As a PEO customer, you will have access to plans typically available for only enterprise organizations. Your employees will have a larger choice in doctors, hospitals, and will be able to see out of network providers, for an additional out-of-pocket fee.
If working on your own, you will find health insurance to be the most significant portion of your benefits budget. Dental and vision are traditionally not included in base health insurance plans. To include these you would need to source separate plans specific to dental and vision, respectively.
Retirement plans (401(k)s) are also highly sought-after benefits of employees of any age. You will need to decide if your organization will participate in employer-sponsored matching. This will make a difference in your budget at the end of the day.
Other plans that can be added to your benefits package could include life insurance policies, disability insurance, a health savings account (HSA) or flexible spending account (FSA), basic paid time off (PTO) or unlimited time off (a new trend in PTO).
Harbor America is committed to helping businesses of any size add time back into their day. Regarding employee benefits, Harbor America clients are greeted with a wide range of benefit packages to not only attract top talent but retain your top performers. Contact us to start designing a benefits package specific to your employees and your business.
[1] HR Daily Advisor: Research Shows Strong Job Satisfaction, Benefits
[2] LinkedIn: These 5 Employee Benefits are Trending
