Better Employee Management: Benefits

Better Employee Management: Eight Critical Areas for Small-Business Success

Benefits

In general, employees of small businesses do not have the same access to benefits as those who work for large companies. Big firms traditionally have offered benefits packages that have included health-care coverage, retirement plans, and more. The good news for workers is that today there are ways that even the smallest business can offer a benefits package.

Employer-sponsored health insuranceHealth Insurance

Employer-sponsored health insurance is the top benefit selected by employees, according to a recent study by MetLife. Many business owners may not realize that group insurance rates and benefits are available for firms as small as two employees.

Retirement

Employer-sponsored health insurance is the top benefit selected by employees, according to a recent study by MetLife. Many business owners may not realize that group insurance rates and benefits are available for firms as small as two employees.

Life Insurance

Group insurance for employees can be very reasonably priced, and can help take care of loved ones in the event of an employee death. Various forms of life insurance are available to employers, from basic term live to dependent life insurance policies.

Disability Insurance

While some states require employers to provide short-term disability insurance to their employees, many organizations are choosing to offer short-and/or long term disability insurance to their workforces. The typical benefit provides partial compensation during disability for up to a maximum number of weeks.

Flexible Spending Account

A flexible spending account (FSA) is used to pay out-of-pocket medical expenses and dependent-care expenses on a pretax basis. To contribute to an FSA account, employees establish an annual contribution amount, a portion of which is deducted accordingly from each paycheck. This requires employees to budget for these anticipated expenses, including prescription drugs and co-payments.

Employee Assistance Program

This benefit may provide access to confidential and voluntary assistance to employees and their immediate family members who may be facing challenges such as financial concerns, legal issues, alcohol or drug dependencies, martial problems, and more. Many offerings can go beyond these services to help create a total work-life balance experience.

Have a question about employee management? Connect with a SCORE mentor online or in your community today!

 

Additional employee management tools:

Payroll | Employee Communications | Benefits | Workplace Safety and Loss Prevention | Compliance | Interviewing and Hiring | Employee Motivation and Development | Employee Separation

About the Author

Paychex logoPaychex is committed to providing businesses the freedom to succeed. We do this by offering products and services that help clients do what they do best – run their business. From calculating payroll and filing tax payments to administering retirement plans and workers' compensation, Paychex gives its clients relief from administrative hassles so they can focus on their bottom line. For resources to help you start, grow, and manage your business, visit www.buildmybiz.com.