Staying Competitive With Employee Benefits

401 k providers

While it seems that they have been around forever now, the 401 k services were enabled by code updates in 1978 by the IRS. Your 401 k advisor can help you navigate the decisions and planning for an appropriate income later in life.

When putting together employee benefits packages, it is essential to have an employee benefit audit in place to comply with changing regulations and best practices. Whether you are looking at business interruption insurance costs, deferred compensation retirement plans, or fairly straight forward employee benefit planning, some due diligence will allow you to stay competitive in the marketplace.

When you have quality employees, you should consider what benefits you can reasonably offer. Sometimes salary is not the only consideration for employees and potential recruits. An employee benefit audit can help you structure packages that include a basic 401 k, insurance components, and any additional components deemed necessary. Frequently the cost of additional benefits to employees is much lower than employee turnover or cash incentives.

At the most basic level, look at the company holidays and other paid time off. Does it fit into the best practices for your industry? You can provide some flexibility as well with unpaid leave or floating holidays as necessary. You will have to look at your legal obligations when it comes to insurance packages and subsidies, but frequently salaried employees expect a certain level of coverage to be paid or reimbursed by the employer.

You should be aware that as you set up insurance and retirement benefits that they come with their own set of government regulations. This is where you will need some granular oversight and an employee benefit audit to maintain compliance. For example, if you have both full time and part time employees, there may be different requirements around exclusions of any benefits.

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