Choosing the Right Employee Benefits for Your Company

As open enrollment period gets closer for many businesses, it’s the perfect time to reassess your company’s employee benefits packages. The right approach should increase employee satisfaction, boost retention and show employees you prioritize their well-being.

Employee benefits continue to top the list of priorities for employees when job searching. In a competitive job market, they want to work for an employer that meets their needs and goals for work-life balance.

In 2024, health-related benefits continue to top the list of the most important employer benefits, followed by retirement savings, paid leave and flexible working, according to SHRM research. And nearly 60% of employees are willing to forfeit some of their salary for better healthcare benefits.

This makes continually competitive benefits a necessity. Here is an overview of benefit must-haves and a few tips and strategies for choosing the right employee benefits for your company.

When you’re rounding out your benefits package, it’s important to know all the basics that people look for. Here are the most important benefits to include:

• Health insurance
• Vision and dental insurance
• Retirement savings benefits, such as a PEO 401(k) and employer match
• Paid leave, including holidays, sick time, vacation and personal days
• Flexible work options for remote work or flexible hours
• Health savings accounts (HSAs) and flexible spending accounts (FSAs), which give employees extra tax benefits for saving for certain expenses
• Life and disability insurance

On top of these essentials, many employers are adding employee financial wellness benefits and ways to support them in their educational pursuits. Consider how you can provide a well-rounded benefits package that meets the needs of the modern qualified employee.

First on the list is understanding your budget and how to balance affordability with the right coverage. Remember that the lowest price doesn’t always equal the best benefits. Finding the right option means you’re able to manage human resources costs and stay competitive with comprehensive coverage.

Larger companies are typically able to afford more comprehensive plans. However, when you work with a PEO, you obtain exclusive group rates on premium plans. PEOs can help you find the right balance to support employees with the benefits they desire, and at rates that save your business money.

Just like all businesses have different price points and goals, so do employees. Your employees may come from a variety of different backgrounds and family circumstances, not to mention different financial situations.

This is why it’s important to focus on variety, giving people options in types of insurance and cost levels. Also consider adding additional benefits options you haven’t offered before, such as supplemental insurance coverage. Remember your people may all have different priorities when it concerns employee benefits.

Involve employees in the benefits process. It never hurts to ask for feedback about concerns like:

• The benefits they value most
• What they feel is missing from their benefits package
• Their experience interacting with the benefits platform
• Their view on the cost of their benefits

By understanding your employees better, you’ll be able to implement a benefits package that aligns with their needs and desires.

Once you’ve chosen your employee benefits, it’s time to focus on communication. Employees need to know exactly what their options are, the cost and how to access everything they sign up for.

Without consistent and clear communication, employees may not utilize their benefits as they should. That means wasted resources for everyone. Set up a system that:

• Updates them regularly about open enrollment deadlines and processes
• Walks them through how to use the benefits admin system
• Educates them on the importance of certain benefits
• Provides contact information if they have questions

Your benefits processes should be employee-centric and well-defined.

PEOs can make all the difference for your business. They can work alongside your HR department or offer complete services if you don’t have one. With all their purchasing power, PEOs are critical allies in helping you gain access to a range of affordable benefits offerings normally reserved for bigger organizations.

Additionally, PEOs look at the best options out there, providing a level of variety that you may not have when searching on your own. Open enrollment periods and renewals are made easier with this kind of partner by your side.

A PEO can also take care of many time-consuming HR tasks within your business, such as benefits administration, so you and your team have more time to focus on core business initiatives. When employees have questions or concerns about their coverage, a PEO can answer them.

Partner with PrestigePEO to learn how we can deliver all these employee benefits and HR solutions for you and your business. Our services range from HR management and consultancy to risk mitigation and much more. We act as your co-employer to share business responsibilities and help you navigate employee relationships and communication. Finally, our expert benefits account managers and specialists can help you and your teams make sure they’re getting the most out of our competitive, cutting-edge employee benefits.

Contact PrestigePEO to find out more about what we can do for your business.