As a small business, you have the flexibility to shape your benefits package in a way that follows the law and aligns with your business goals. However, we believe that offering benefits to your employees is not just about complying with regulations. Good benefits are the backbone to a strong, more motivated workforce and help set up business owners for success.
Below, our knowledgeable small business insurance agency experts discuss the things you need to know about offering comprehensive benefits, the types of benefits you can provide for your employees, and how to make informed decisions that benefit both your employees and your bottom line.
A: What Does the Affordable Care Act Require?
Under the Affordable Care Act (ACA), businesses with 50 or more full-time equivalent employees must offer affordable health insurance coverage that meets certain minimum standards. Failing to comply with the ACA requirements can result in penalties for employers.
While certain benefits are required by law many are optional. So why would employers choose to take on the added expense of providing benefits if they’re not mandatory? Whether through potential tax savings or better retention, offering benefits to your employees can be a major benefit to business owners and our Maryland insurance agency is here to help you figure out the best option.
Today’s job market is competitive and increasingly, employees value benefits that enhance their financial security and quality of life. The very best talent expects a comprehensive benefits package as compensation for their in-demand skills–and they are more likely to remain loyal to employers who prioritize the whole compensation package.
B: Which Benefits Should You Offer?
When deciding which benefits to include in your compensation package, consider factors such as affordability, competitiveness, and the potential impact on your business. As a small business it may be financially impossible to afford providing all of the benefits available but an experienced small business insurance agent can help you come up with a package that meets your needs.
One way to narrow down your offerings is to start with the basics.
Health insurance consistently ranks as one of the most valued benefits among employees. Additionally, retirement plans, paid time off, and life insurance are popular choices that can help attract and retain talent while providing financial security for your workforce.The benefits landscape is vast and diverse with many options available to employers, but we can help you conduct research to understand what similar businesses are offering and customize a plan that fits you best.
C: The True Cost of Forgoing Comprehensive Coverage
Group benefits can yield significant returns in terms of employee satisfaction and retention but it is no secret that they come at a cost. Small businesses, in particular, may face challenges such as higher insurance premiums and limited options for retirement plans due to the financial burden of administrative costs on a small team. On the other hand, forgoing these benefits may lead to missing out on some of the best talent as they are recruited by larger businesses that can provide the bells and whistles of group benefits.
Cost-sharing strategies and other options may help bring down premiums and other costs. At Unity Insurance, we can help you come up with a plan to mitigate these challenges but in the end the true cost of forgoing benefits isn’t just about the money saved. The potential cost of replacing employees who leave due to inadequate benefits may be an even bigger burden to bear.
As a small business owner, investing in your employees’ well-being through comprehensive benefits is not just a legal requirement—it’s a strategic investment in your business longevity. Ultimately, the decision to offer benefits should align with your business goals and values.
At Unity Insurance, we understand the unique challenges faced by small businesses in navigating the complex world of employee benefits. Our team of experts is here to provide personalized guidance and support to help you design a benefits package that meets your needs and exceeds your expectations. Contact us today to learn more about our comprehensive insurance solutions and how we can help you maximize the value of your employee benefits program.
Speak With An Agent At Unity Insurance About Your Group Benefits Needs Today
Unity’s insurance professionals serve as your advocate from the very beginning. From selecting coverage to filing a claim, we are by your side every step of the way. At Unity Insurance, we know insurance plays a vital role in every stage of your life and business so our professionals provide guidance and support to ensure you make the right decisions regarding your insurance options. We work with clients in Maryland, Delaware, and Virginia to provide the best plan for individual needs. Call 410-539-6642 to learn how the experienced insurance agents at Unity Insurance can assist you.