Understanding the various types of employee benefits is key to growing a successful business. Not only are certain benefits legally required at a state and federal level, but having an attractive benefits offering will also make your business more competitive, assist with retention efforts, and help employees feel healthy and happy.
That said, offering employee benefits is truly valuable. With that in mind, let's break down the different kinds of employee benefits, why you should offer them at your company, and how SynchronyHR can help.
1. Health Insurance
When it comes to employee benefits options, health insurance is undoubtedly the most important. Employees rely on health insurance to keep themselves and potential family members protected from medical issues, and, because of its importance, the U.S. government encourages employers to offer a solution.
Under the American Care Act (ACA), employers must offer health insurance to 95% of full-time employees if they have 50 or more full-time employees. If they do not, they must pay a penalty to the IRS that is equivalent to $3,860 per year per employee.
Thankfully business owners have access to many types of readily available employee health insurance packages, ranging from health reimbursement accounts to flexible spending accounts. SynchronyHR can help business owners create custom benefits packages that take their employee's needs into account. We strive to implement products and strategies that educate and engage employees.
2. Additional Insurance
At a minimum, employee health insurance can cover prescriptions, emergency healthcare, and hospital care. However, more competitive insurance packages can also cover multiple health plan options, dental and vision care, hospital indemnity offerings, accident and critical illness insurance, and more. With virtual services becoming necessary during the COVID-19 pandemic, Telehealth offerings are also a plus.
Other components of strong benefits packages are life and disability insurances. Life insurance is designed to cover costs in the event of an employee's death, both inside and outside of the workplace. Disability insurance, both short-term and long-term, are designed to cover employees's salary if unforeseen circumstances prevent them from returning to work for a period of time. Disability benefits are legally mandated in several states in the U.S., and are strongly recommended for all businesses.
SynchronyHR can provide all of the above insurance solutions, and more, in an effort to help business owners protect their employees and set the tone for a unique and engaging company culture.
3. Retirement Plans
When selecting benefits for employees, it is essential that your company offers attractive retirement offerings. One of the most common offerings is access to a 401(k), into which employers can deduct a certain portion of an employee's salary and place it into a separate savings account.
It is also common for employers to then match their employee's contribution to their 401(k). There are many types of retirement plans that employers can offer. What is important is that you make reasonable contributions towards the retirement of your team.
However, most 401(k) plans for small- to medium-sized business can be expensive, burdensome, and potentially wrought with liability. With SynchronyHR, however, you can have access to the affordable, risk-free, and flexible retirement offerings.
4. Additional Perks
Employers can provide assistance with so many other elements of their employee's day-to-day lives. In fact, the possibilities for additional perks within an employee benefit package are endless. Examples of these perks include assistance with pets, vacations and family entertainment, legal services, and travel.
SynchronyHR provides business owners, and their employees, access to pet prescriptions, theme park and sporting event discounts, access to LegalShield and IDShield, Global Cash Card Payroll cards, and more.
Get the Right Types of Employee Benefits for Your Company
Knowing the various kinds of employee benefits is just the first step in offering a competitive package and attracting/retaining the best talent.
To find out more about how to implement the best benefits packages, do not hesitate to get in touch with our friendly and professional team today. We are here to help your business grow!