What an Effective Group Benefits Program Looks Like

Donna Nichols | Sep 29, 2021 | minute read

What an Effective Group Benefits Program Looks LikeEmployee benefits are a type of compensation provided to employees in addition to their regular salary or wages. Employee benefits come in various shapes and sizes, and they are an important component of the overall compensation package provided to employees.

In this article, we'll go over some typical examples of employee benefits plans, what types of employee benefits are most valued, and what an effective group benefits plan should look like.

What Kind of Benefits Do Employees Value?

This is what HR experts tell us the various generations values.

Gen Z

  1. Work hour and leave
  2. Health & wellness
  3. Education

Gen X

  1. Work hours and leave
  2. Health & wellness
  3. Pension

Millennials

  1. Work hours & leave
  2. Health & wellness
  3. Education

Baby Boomers

  1. Pension
  2. Work hours
  3. Healthcare

It has been our experience that employees value certain kinds of benefits over others. Here is what we have found to be of value. We understand that it may be impossible to have all these included in your benefits program. We can help you identify specifically which program your employees value and then design a plan around these.

  • Comprehensive health & dental coverage
  • Accounts or benefits for retirement
  • HSAs, FSAs, and HRAs are examples of healthcare spending or reimbursement accounts.
  • Disability insurance
  • Tuition assistance
  • Childcare programs
  • Discounts or gym memberships
  • Employee appreciation programs
  • Assistance with commuting and travel
  • Options for telecommuting
  • Recreational activities, food and coffee, and flexible work schedules

What an Effective Group Benefits Program Looks Like

Benefit Program Structure

In general, businesses structure, contribute to, and provide employee benefits in two ways:

  1. Employee structured programs provide employees with employer-funded funds to customize their benefits through the use of technology. Benefits are paid for by the employer and chosen by the employee.
  2. Employer structured programs provide a specific or defined benefit to employees. Benefits are provided by the employer and are chosen by the employer.

These plan designs offer pros and cons. It is best to have an agent help you design a plan that works best for your employees and business.

Benefit Plan Design

Benefit

How it can work

Health Insurance

Employers typically share costs with employees, such as a 50/50 split or 60/40.

Dental/vision

Employers may contribute or employees pay premiums.

Retirement

Employers contribute an amount or match up to a percent.

Life & Disability

Some employers pay for a fixed benefit amount, such as $50,000

FSA/HAS

Either employer or employee may contribute, subject to annual limits, depending on what is offered.

Employee Programs

Expense paid by the employer.

Work-Life Balance

There are usually funded by the employer.

 

There are some benefits that are required by law. These are:

  • Social Security
  • Unemployment insurance
  • Workers' compensation
  • COBRA
  • Short-term disability insurance
  • Leaves of absence

How We Help You Design Your Program

  • We help you determine your budget
  • Survey employees to determine needs and interests
  • Decide which benefits and program to include
  • Analyze the businesses total compensation
  • Review providers
  • Finalize program design
  • Roll out to employees

There are several approaches to putting together and then maintaining a benefits package that current employees will appreciate, and job candidates interested in. Many businesses have solid, creative, and engaging benefit packages, and they all look slightly different.

Your organization's goal should be to develop your own plan of an inclusive and dynamic employee benefits program that addresses your employee's needs while staying within your company's budget.

Enrolling your company in a group health insurance plan benefits both your company and your employees. The first step is to consult with your broker or health insurance advisor to determine the cost of enrolling your eligible employees. You may have greater flexibility, access to a larger network of doctors, and you may save money on taxes. Most importantly, your team will be healthier and happier.

Leap | Carpenter | Kemps Insurance Agency Can Help

Leap | Carpenter | Kemps Insurance Agency can help your company provide a competitive, attractive benefits package without breaking the bank. We have the region's largest and most experienced team of Employee Benefits professionals as well as access to plans from all the leading providers, including some that are exclusive to Leap | Carpenter | Kemps Insurance Agency.

From the "basics" like health, life, and disability insurance, to more "creative" offerings like 401(k) plans, FSAs, HRAs, and HSAs, we can demystify the options and design a benefits package to keep your company competitive.

 

Share This Blog

Like our content? Subscribe to Our Blog!

Subscribe

Related Articles

Term life insurance is a kind of life insurance

Life Insurance offers financial stability and r...

About The Author

Need more Specific Advice?

Tell us about your exposures, and we'll write an article about how we would mitigate your risk.