Employers who are interested in adding a group benefits plan for their employees can feel overwhelmed by the jargon and options available to them. The good news is, it doesn’t have to be confusing. When you start by answering some basic questions about how and why you want to implement a group benefits plan, the choices become easy. Follow these 4 tips to make creating a group benefits plan for your team a breeze.
Know your employees
There is a good reason group benefits plans are sometimes referred to as “employee health benefits plans” – they’re all about your employees! Offering a group benefits plan starts with knowing what your employees value. After all, you wouldn’t take a product to market without some research, right?
You may find that your multi-generational workforce has a wide variety of priorities. In this case a flexible benefits plan is a great option. Flexible benefits plans allow employers to create a budget, then let employees select the benefits that meet their needs. It’s the perfect marriage of freedom and control.
Define your goals
Like any good project, offering a benefits plan starts with understanding what you want to accomplish. Your benefits plan should align with your business goals. Do you want to:
attract new employees in a competitive marketplace;
retain the stellar employees you already have;
offer perks that align with your workplace culture; or
reduce absenteeism that comes from health concerns?
No matter what your goal is, identifying it early in the process will help guide your decisions and make benefits selection easier.
Be financially realistic
We would all like to offer unlimited support for employees, but every decision comes with a cost. Any choices you make will impact your bottom line and must fit in with your budget.
This is where it helps to review your goals and your employee demographics. Understanding what you want the benefits plan to accomplish, and what employees and potential employees value can help you prioritize features and make tough decisions.
Two of the best ways to stretch your budget dollars and provide the most benefit for your employees are flexible benefits plans and health care spending accounts.
Similarly, health care spending accounts are a fixed amount that employees can spend on eligible expenses. You gain financial certainty, while employees have the most options available for using their benefits.
Treat it like an investment
Finally, remember that a group benefits plan is more than an expense; it’s an investment in the health and happiness of your team.
By providing your employees with benefits, you are showing that you value their health, and that of their family. When employees feel valued, they are more likely to be productive, positive and engaged. This high morale can also result in increased loyalty and lower employee turnover, saving your hiring and retraining costs.
Implementing a group benefits plan doesn’t have to be confusing. Start with these basics and you will be able to approach the process with confidence and make informed decisions.