For most employees, compensation is a lot more than a competitive salary. With the country’s unemployment rate hovering around 3.5 percent , competition for the best talent is fierce. Top employees may expect to receive popular benefits like health insurance, paid time off, retirement savings plans, wellness and family benefits, and more. If you're planning to add team members in 2020, it may be time to review your employee benefits package—and see how it stacks up against your competitors. These are some of the most popular benefits to consider.
If you're looking to attract top talent, your company’s health insurance plan must be a priority. Fifty-five percent of employees say it's the most important benefit, according to a recent survey from Clutch.
Most companies have a health insurance plan, with 85 percent offering PPO plans, according to SHRM’s annual employee benefits report. But high-deductible health plans (HDHPs) are also gaining popularity. More than half of companies offer their employees at least one HDHP option.
High-deductible health plans can be more expensive for employees, so many companies pair them with a health savings account (HSA) or a flexible spending account (FSA). These accounts give employees the option to save pre-tax money for out-of-pocket medical expenses.
Many employees worry about their financial future. But luckily, most companies offer ways to save and invest for retirement. Ninety-three percent of employers offer a traditional 401(k) plan and almost two-thirds offer their employees a matching contribution. They may also offer investing and retirement planning advice. One in five companies even offers credit counseling for their employees.
Paid Time Off
Work-life balance is a priority for many employees. Almost all companies offer some type of paid time off and sick leave. And companies of all sizes are offering employees the chance to work from home. More than one-quarter of companies allow full-time employees the option to telecommute. It's also becoming more common to offer flexible work hours.
Wellness and Family Benefits
Although employees appreciate family and wellness benefits, most companies haven't been increasing their budgets to pay for them. But these benefits are often low cost, and may be worth considering. Fifty-eight percent of companies offer some type of wellness program. Investing in these programs may pay off. According to SHRM, they have a proven track record for improving certain health conditions and fitness levels.
Companies also offer a number of family-friendly benefit options. Twenty-five percent of companies allow parents to bring their kids to work during an emergency. Some also offer discounted child care or referrals for providers. There has also been an uptick in services for mothers like on-site lactation rooms and support services. Some companies offer programs to assist parents who are returning to work. Elder-care benefits are growing, but still not prevalent at most companies.
Be proactive with your company's employee benefits package
As competition heats up, it's important to consider your company's total compensation package. Providing the best employee benefits package offers more than bargaining power. You may also experience greater levels of job satisfaction and higher retention rates.
Disclaimer: the content presented in this article are for informational purposes only, and is not, and must not be considered tax, investment, legal, accounting or financial planning advice, nor a recommendation as to a specific course of action. Investors should consult all available information, including fund prospectuses, and consult with appropriate tax, investment, accounting, legal, and accounting professionals, as appropriate, before making any investment or utilizing any financial planning strategy.