Most small business owners neglect to offer their employees benefits because they worry about the associated costs. The truth, however, is that there are many ways in which small businesses can provide employee benefits without breaking the bank. Read on for tips on how to go about it.
Why employee benefits are important
The Bureau of Labor Statistics has released statistics that show that small businesses are far less likely to offer employee benefits to their staff. This is because there is no legal requirement for businesses employing fewer than 50 people to offer health insurance. However, just because it is not a necessity does not mean that it shouldn’t be done.
There are many experts out there who claim that health insurance, such as managed care plans, and other employee benefits should not be viewed as luxuries. Instead, they should be included in business operating costs. Employers should strive to go the ‘extra mile’ for their workers because doing so is certain to benefit them just as much as it benefits the employees themselves.
By offering employees valuable benefits, small businesses stand a greater chance of being able to hold onto the best talent. A company’s employees are, after all, some of its most important resources. Without talented individuals maximizing production, a business will be unable to compete within the market. However, when employees feel as though they are appreciated and properly taken care of, they tend to remain at a specific business for much longer periods and will often work harder as a result.
How to offer benefits to your employees
The easiest way in which to offer cost-effective employee benefits is to seek out a solutions partner that can assist you with all aspects of managing your human resources. A partner or an advanced software solution, such as Zenefits, can help you to make business-friendly decisions regarding benefits, payroll, and more.
You will need to conduct plenty of research into the different options available to you regarding benefits for your employees. For instance, it is possible to offer health insurance but to insist that each staff member also contributes a stipulated amount each month. This will mean that the entire financial burden won’t fall on the business, all the while ensuring that health cover is exponentially more affordable for your employees, too.
If you cannot afford to offer health insurance, even in this divided approach, there are still many other strategies for providing employees with worthwhile benefits. For example, you could provide them with a handful more vacation days than the ‘norm’ each year or help them to set up and contribute to 401(k)s or pension funds.
Further to this, there is the option to run various incentive programs. For example, the employee who is voted ‘most productive’ or as the best customer service provider could win a decent bonus at the end of each month.
Regardless of the employee benefits that you choose to provide, your small business is certain to reap the rewards. So, do your research and put a package of benefits together. It will definitely be worth it in the long run.
