Benefits Strategies for Small Businesses

Kim Solis | Jul 14, 2021 | minute read
Benefits Strategies for Small Business

Attracting and retaining employees has never been more challenging for small business owners. Between COVID-19 concerns, unemployment benefits, and OSHA guidelines, employers seem to be struggling to keep their doors open.

As small business owners and managers attempt to plan for the future, developing employment strategies can be important to your growth and profit. A recent Gallup study said the cost of replacing an employee ranges between one-half to one and a half the employee's annual salary.

When a small business owner or manager thinks of benefits strategies, health insurance is one of the first things that comes to their mind. But developing benefits strategies can go much deeper than just health insurance. For sure, offering a dynamic group health program should be part of your benefits strategy, but we think there can and should be more.

Preparing a strategy plan and examining benefit prospects within the context of your company's overall strategic plan will allow you to concentrate your efforts on growing your business while keeping your employees happy and attracting top talent.

Benefits Strategies Defined 

Benefits strategies can be best defined as a set of programs, policies, and insurance that enhance the employee's life while working for your business. The employer who offers a broad and diverse set of benefits will have an advantage over those businesses that do not.

Let's briefly review a few simple steps in the process of developing a benefits strategy.

  1. Identify your organization's benefits objectives and budget. What do you want to provide to your employees, how much is your budget, are there programs that can be identified that don't cost anything directly?
  2. Undertake a needs assessment. The best way to determine the optimal benefits selection and design based on the needs of the employees, a needs assessment should be undertaken. This also might include a review of what your competitors are doing.
  3. Design your benefits program. Based on the needs assessment, we can help you create benefits programs and health insurance coverage that best suits the needs of your individual employees.
  4. Communicate your plan to your employees. Benefits planning and management would be incomplete without a communication strategy.
  5. Create ongoing program evaluation. The benefits program must be evaluated on a regular basis to ensure that it is achieving the organization's goals and the demands of its employees.

Benefits programs can be put into two categories; traditional health insurance plans and non-traditional programs or services. These are the top five health benefits according to Peopleleep.com:

  1. Health Insurance
  2. Retirement programs
  3. Workplace flexibility
  4. Wellness programs
  5. Tuition reimbursement

Your business may not be able to do all these, but you can start with a few. A good agent will help you review your many options and create a benefits program that best suits your employee's needs.

Benefits Strategies for Small Businesses

Traditional Benefits Plans

  • Health insurance
  • Vision insurance
  • Dental insurance
  • Retirement benefits
  • Healthcare spending or reimbursement accounts (HSAs, FSAs, and HRAs)
  • Long -short term disability insurance
  • Life insurance
  • Paid time off

Whether your company does or does not currently provide group health insurance to its employees, see if you can join an association of other small business owners group to get better rates and savings.

Non-Traditional Programs

  • Free lunch on Fridays
  • Remote work
  • Flex hours
  • Wellness programs
  • Fitness programs
  • Pet-friendly office
  • Classes on stress management, healthy living, etc.
  • Time off for volunteering
  • Company apparel
  • Childcare benefits
  • Guest speakers at lunch
  • Promote well-done job awards
  • Special gift for every positive client review
  • VIP parking
  • Write notes to the staff
  • Bring the family to workday
  • Educational investment

Your business can attract and retain the best employees by offering a well-managed and dynamic benefits offering that includes both health insurance and nontraditional programs for the benefit of your employees.

 

Leap | Carpenter | Kemps Insurance Agency Helps Can Help Meet Your Needs and Those of Your Employees

At Leap | Carpenter | Kemps Insurance Agency, we provide quality life and health insurance, as well as complete employee benefits packages to meet your needs and those of your employees.

If you’re looking for ways to help reduce the risk in your workplace and make sure your employees are adequately insured, schedule an appointment with one of our insurance agents to discuss your current coverage and explore your best options.

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