Common workplace benefits and perks
Salary is just one component of the package that businesses may offer their employees.
Though salary is important, an honest comparison of companies can benefit from a look at the larger picture - and that includes an analysis of what companies offer in addition to financial compensation.
Some people feel that certain perks outrank salary on their professional priority list.
Certain benefits are standard offerings, while others take perks a step further. The following are some of the benefits job seekers may encounter in job listings and during the interview process.
• Health insurance: Offering health insurance is mandatory in certain areas, while in others it is up to the employer. Insurance costs may be taken care of by an employer, while in most cases employees have a portion of those costs deducted from their paychecks. Health benefits also may be extended to employees' family members. Large organizations may allow employees to choose their health insurance provider, while small firms may only contract with one company.
• Flexible health spending account: A health care spending account, sometimes called a health savings account, enables employees to set aside a portion of their incomes before taxes are deducted. That money can be used for qualified health purchases. Employees submit receipts for these health needs, which can include copayments, overthe- counter medications, sanitary products, or first aid equipment, and then get reimbursed up to the amount they had deducted for the year. HSAs are one way to reduce tax burden.
• Paid time off: Often referred to as "PTO," this is a benefit that enables employees to schedule personal days off from work. Typically, PTO accrues each pay period by a set number of hours. PTO may occur in place of or in conjunction with separate vacation time. PTO can be a negotiating point with prospective employers who do not have wiggle room on salary offerings.
• Life insurance: Many employers contract with life insurance companies to offer their employees discounted rates on life insurance premiums. Employees typically pay these costs out of pocket, but the employer facilitates the relationship with the insurance broker.
• Retirement savings: Employers may offer pensions or other retirement savings plans such as 401(k) and 403(b) accounts. Employees contribute a percentage of their salaries and employers may make matching or discretionary contributions as well.
• Flex scheduling/remote work: Many employers recognize the advantage of allowing employees to work from home all or a portion of the week. An alternate work schedule also may be offered to help employees. With an alternate work schedule, employees may eschew the traditional 9 to 5 schedule for an 8 to 4 or even 11 to 7 schedule. Flexibility is something employees covet, as it can help them achieve a work/life balance.
These are just some of the benefits professionals can consider as they search for a new job. Additional benefits include bonuses, stock options and tuition reimbursement.
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