Whenever an employer is considering offering benefits, whether traditional or flexible, they’ll need to look at the pros and cons of each to decide which plan to choose. Providing benefits is a good idea for most employers if they want to attract and retain the newest, brightest talent. Millennials aren’t kids anymore. Few consider anyone born past 1997 to be a millennial, and that means even the youngest millennials have already turned 20. This generation has grown up in a time shaped by economic crisis after recession, and many of them are less concerned about their overall paycheck as they are in stability and benefits.

Tax Savings are a favourite among employees with flexible benefits. During payroll, a deduction is made from each employee’s income before taxes. The money deducted goes into a specific benefits account that they can then use to pay for medical services. And, because the health benefits money is deducted before taxes are applied, they won’t be taxed on the money going into their health account, and thus they’ll pay less tax overall.

More Flexibility. Traditional health plans are usually quite rigid. They specify exactly how much money can be used on precise services, with no wiggle room to have your eyeglasses fully covered because you never get cavities. That’s not the way flexible benefits work. Instead, your account slowly grows as money is deducted from each paycheck. That money can then be accessed to pay for all or some of any medical treatments. As long as you don’t go over budget, you can use the money for any medical service from physiotherapy to dental to whatever.

Financial Freedom. Another beloved perk of flexible benefits is that employees get to decide the specific amount of premium dollars they’re going to allocate to benefits each year. They can adjust this as necessary, and any unspent money stays in the account and gets carried over to next year’s budget.

Employee flexible benefits are a great option. This is especially true for Canadian employers who have a large team with diverse needs. Flexible benefits will mean that all members of your team have access to a useful benefits plan that meets their needs and wants. To learn more about how flexible benefits can help your employees contact Health Risk today.

Health Risk Services Inc. is committed to providing quality health benefits solutions that continually meet your changing needs and growing expectations.

Employees Prefer Great Benefits Over Higher Salaries

While the logic of just giving your employees pay raises seems sounds (just hand over the money, and they’ll spend it on what they want), it turns out that many employees — especially those under 35 — are more interested in great benefits than high salaries. So why are employees leaning towards benefits over pay raises? And what are the benefits that your employees want?

Security and Balance.

It all comes down to employees wanting to know that they can see a dentist or take a sick day when they need to without facing repercussions. Many employees are also parents, and they have kids to take care of. When employees begin to choose benefits over higher salaries, you can be sure it’s because they’re looking for more security and a better life-work balance.

Health Benefits are the number one priority for most employees. A recent study showed that, of the just under 80% of employees who’d prefer benefits over a pay raise, 40% ranked better health insurance as their primary concern. This makes sense. Many Canadians are underinsured. That means that, while they do have some health coverage, they’re paying out of pocket for a lot of the services they’d like to access. We suggest adding dietitians, nutritionists, and massage to the list of professional services you provide employees.

Paid Vacation followed just behind health benefits with 38% of employees wanting more paid vacation. From a health standpoint, paid vacation just makes sense. Employees who can’t afford to take time off are more stressed out. Stress causes employees to be less productive, more prone to illness, and unmotivated at work. Vacations give employees an opportunity to unwind and relax. They return more focused and ready to get back to work.

There are ton of benefits that your employees may prefer to a pay raise. Better health plans, paid vacation, paid sick days, and extra help with their retirement pension are all important benefits that today’s employees are looking for. If you want to retain the best talent, it’s important to know what your employees actually need and desire.

Ready to give your employees a better health plan? Health Risk is here to help! Contact us today.