As employers continue to spend more on benefits, it is vital that employees appreciate those benefits as an important part of their total compensation. There is no better way to ensure that they do than with a personalized benefits statement, which illustrates line by line how much each benefit is worth.
Benefit statements show the dollar value of an employee’s benefits in an individual summary. Each employee receives a statement that outlines his or her total compensation, including pay, medical and dental benefits, accidental insurance benefits, flexible spending accounts, disability, retirement, savings, and any other benefits provided by the employer. Providing the total dollar amount can be a powerful way to show the company’s investment in the employee.
In 2014, over 30% of employers’ compensation costs were for benefits, including health and retirement programs, according to the U.S. Department of Labor. Yet, employees may not think about their benefits much, nor consider benefits as part of their compensation. An employee might review his or her benefits when first joining a company, and after that, perhaps only during annual enrollment. Benefit statements are a way for employers to market the benefits program during other times of the year. Consider them as an educational tool to help employees understand how benefits fit into their total compensation packages.
BeneCom offers several different options for benefit statements, depending on your needs and budget–from economical preformatted “generic” options to multi-page customized formats. For more information, call us at 860-674-2626.