The right employees could make or break your business, so careful selection is important. Big factors that influence employee retention are good hiring practices, a motivational work environment and great benefits. An attractive employee benefits package will help to provide security for your current and future employees and help you optimize your investment in your staffing.
An attractive benefits package could include retirement income, workers compensation, short-term disability, long-term disability, healthcare coverage, dental and vision plans, life insurance, identity theft protection, paid time off, tuition reimbursement and more. Your offering may include employee stock purchase options for very valuable employees who will help you perpetuate your business.
HERE ARE SOME POTENTIAL EMPLOYEE BENEFITS TO CONSIDER:
MEDICAL INSURANCE
These plans cover hospital visits, doctor visits, surgeries and prescriptions. As the employer, you may cover most of the premium.
ANCILLARY BENEFITS
These are lower-cost offerings that may be paid by the employee, including vision, dental, accident, cancer, hospital reimbursement, dependent life and more.
DISABILITY INSURANCE
In the event your employee is injured or has a lengthy illness, this benefit provides payment while he or she is unable to work.
RETIREMENT BENEFITS
The most common type is a 401(k), which allows employees to deduct a certain amount of each paycheck pre-tax to put toward retirement savings. Some businesses choose to match that deduction amount.
LIFE INSURANCE
If your employee dies, this benefit will provide payments to the employee’s named beneficiaries. These benefits may help your employee’s family cover funeral costs and ongoing living expenses.
SOCIAL SECURITY TAXES
As an employer, you are required to deduct social security taxes from that employee’s wages and report the wages to the Social Security Administration. In return, your employee will receive Social Security and Medicare benefits later in life.
UNEMPLOYMENT INSURANCE
For each employee, you will pay unemployment insurance taxes to your state government. Those fees are given to qualified unemployed individuals.
WORKERS’ COMPENSATION
This is a type of employee benefits insurance that works for both parties. By agreeing to pay for injuries and illness that an employee may incur on the job, you limit your risk of an employee lawsuit.
RANDOM PERKS
Be creative! Office lunches, recognition programs, safety incentives, sales competitions and milestone achievements all boost team morale.
Angelyn Treutel Zeringue is president of SouthGroup Insurance Services, a CPA, PWCAM, CBIA and licensed Trusted Choice Insurance Agent. Reach her at www.southgroupgulfcoast.com, (228) 385-1177, or azeringue@southgroup.net.
