At Tapcheck we highly value financial wellness and that usually means having a strong employee benefit package. Beyond ensuring the financial wellness of your employees, they reflect a company's commitment to their well-being and ease the hiring and retention of new ones. In this article, we'll explore the top 10 employee benefits that can make a real difference in your workplace. From health insurance to earned wage access, we'll delve into the importance of these benefits for both employees and employers, while providing estimated costs for some of those options. Please keep in mind that those costs may vary greatly based on location.
- Health Insurance: A comprehensive health insurance plan, costing an estimated $400 - $700 per employee per month, provides employees with peace of mind, access to quality healthcare, and financial protection. For example, a robust health insurance plan covers doctor visits, hospital stays, prescription medications, and preventive care, ensuring employees receive the care they need without worrying about excessive medical expenses.
- Retirement Savings Plan: Offering a retirement savings plan like a 401(k) with an employer match is an investment in your employees' future. The estimated cost for an employer match of 3% of the employee's salary is around $3,600 per employee per year. By contributing to their retirement savings, you demonstrate your commitment to their long-term financial security and foster loyalty within your workforce.
- Paid Time Off (PTO): Providing paid time off is invaluable for employees' work-life balance. The estimated cost for three weeks of annual PTO per employee is around $2,400 - $3,000. By offering this benefit, employees can take vacations, spend time with family, or simply recharge, knowing they won't lose income while away from work.
- Flexible Work Arrangements: Embracing flexible work arrangements, such as remote work options or flexible hours, can be cost-neutral or require minimal investments in technology and communication tools. By accommodating employees' personal needs and preferences, you foster a positive work environment and increase productivity and job satisfaction. Furthermore, in 2023 remote jobs represented on average 12.5% of the jobs posted online but attracted a little more than 50% of the applicants looking for work*. It’s clear that with almost zero cost to the employer, remote work is the best employee benefit program for employers looking to hire and retain talent easily.
- Professional Development and Training: Investing in your employees' professional growth demonstrates your commitment to their success. The estimated cost for a yearly professional development stipend varies depending on the size of your workforce and the scope of training programs offered. Allocating an average of $500 - $1,000 per employee per year enables them to attend workshops, conferences, or pursue certifications, boosting their skills and expertise.
- Earned Wage Access: Implementing an earned wage access program comes with varying costs, depending on the provider and program structure. However, the benefits for employees in terms of financial flexibility and reduced reliance on high-cost borrowing are significant. Offering the possibility for your employees to get paid daily is a clear benefit which our customers rave about! Both on the employee side and employer side!
- Employee Assistance Programs (EAP): EAPs typically cost around $10 - $20 per employee per year. These programs offer confidential counseling and support services to address personal or work-related challenges, promoting employee well-being and mental health.
- Parental Leave: Offering paid parental leave is an investment that contributes to a positive work culture. While the costs vary, providing six weeks of fully paid parental leave can be estimated at $3,000 - $5,000 per employee, depending on their salary. This benefit allows new parents to focus on their growing families without the added stress of financial instability.
- Wellness Programs: Implementing wellness programs can range from no additional costs to several thousand dollars per year, depending on the activities and initiatives you choose. Whether it's organizing fitness challenges, subsidizing gym memberships, or offering health screenings, these programs promote a healthy lifestyle and employee well-being.
- Employee Recognition and Rewards: Recognizing and rewarding employees for their contributions is a powerful way to boost morale and foster a positive work environment. Implementing an employee recognition program can take various forms, such as quarterly rewards, gift cards, additional paid time off, or public acknowledgment of achievements. These rewards not only motivate employees to perform at their best but also demonstrate that their hard work and dedication are valued and appreciated by the organization. Employee recognition and rewards programs contribute to higher employee engagement, increased job satisfaction, and improved retention rates.
