Today’s mid-sized business employees want the perks of a big company without the bureaucracy. They want to work for an agile company with dynamic leadership and offer modern benefits.
These employees also want a variety of perks tailored to their individual needs. Instead of offering one standard employee benefits package, companies need to tailor their offerings to fit the needs of each employee based on age, family status, and personal interests.
To help meet these employee needs, many mid-sized businesses have introduced customized employee benefits packages where employees can choose from different options. These packages may also include remote work as an option for some positions. The following are several options for an employee benefits package that should be considered by any mid-sized business looking to attract top talent in today’s job market without breaking the bank:
Medical insurance is a vital part of any employee benefits package. This coverage is designed to help employees cover the cost of their medical bills in an accident or illness. It can also pay for preventative care, such as annual physicals, immunizations, and screenings. There are several types of medical insurance available, including HMOs (Health Maintenance Organizations), PPOs (Preferred Provider Organizations), and POS plans (Point of Service Plans). The type of medical plan you choose will depend on your company’s size and budget and which benefits are most important to your employees.
Dental insurance is similar to medical insurance, but it covers dental procedures instead of physical ailments. Some employers offer both types of coverage simultaneously as part of one policy, while others provide them separately. The cost will vary depending on where you live and your age when you sign up for the plan.
Vision insurance covers eye exams and glasses or contacts for employees with vision problems such as nearsightedness, farsightedness, or astigmatism. Some policies cover contact lenses; others don’t. In addition, some plans only cover corrective lenses for specific conditions such as astigmatism but not bifocals or progressives (multiple-lens eyeglasses).
Health spending or savings accounts are medical reimbursement account that allows you to spend your own money on medical expenses. You can use them in conjunction with health insurance, but they’re also commonly used as a primary form of health coverage for those who don’t qualify for insurance or have high deductibles.
Life insurance is a financial product meant to safeguard your family in a sudden passing. If you die prematurely, the policy will pay out a lump sum that can be used for living expenses and other bills until your loved ones find their financial footing again. Most life insurance policies also offer an additional death benefit payout if the insured individual becomes disabled and unable to work due to their illness.
Disability insurance is another financial product designed to protect against loss of income due to disability or severe illness. Suppose you become unable to work because of an injury or disease. In that case, disability insurance will pay out benefits to continue making payments on your mortgage and other significant expenses until you’re healthy enough to return to work full-time again.
Employers can offer various mental health benefits, including short-term counseling for employees who have experienced trauma, ongoing counseling for those with chronic conditions, and psychiatric care.
A 401(k) is a defined contribution plan that allows you to contribute pre-tax money that reduces your taxable income and grows tax-deferred until you withdraw the money in retirement. Your employer may also match some or all of your contributions up to an annual limit. There are other types of retirement plans that are similar to 401(k)s, including 403(b)s, 457s, and Thrift Savings Plans (TSPs).
PTO is a benefit that allows employees to take time off from work without having it count against them in terms of future earnings or promotions — essentially, a paid vacation with no strings attached! Most employers offer at least two weeks of paid leave per year, but some offer three or four weeks per year, depending on the company culture and employee feedback requests.
Here are some additional options:
- Home office incentives for remote workers
- Tuition reimbursement
- Student loan repayment benefits
- Wellness incentives
- Gym memberships
- Identify theft protection
- Financial planning resources
- Childcare benefits
- Pet-friendly benefits