What Benefits Could or Should You Offer?
Tis the season for Open Enrollment! While the Open Enrollment period generally occurs this time of year with an effective date of January 1st of the following calendar year, some small businesses have effective dates anytime of year. It depends on when you put the plan in place!
Open Enrollment is the one time of year employees can make changes or enroll in company provided health plans (outside of life events).
I know for many small business owners, it’s easy to feel like offering competitive benefits is just not financially possible. I totally get it! So, how do you balance attracting and retaining top talent while keeping costs in check? Well, the good news is, there’s plenty of creative and cost-effective ways to offer benefits that your employees will love, without breaking the bank.
Are there requirements?
Before we dive into the fun stuff, let's cover the basics because, depending on where you’re located, there are a few things you have to offer your employees. If you’re in states like New York, New Jersey, or California, you’re required to provide:
Paid Sick Leave (CA, NY, NJ all have their own versions).
Workers' Compensation to protect employees in case they get hurt on the job (even for remote businesses!)
Paid Family Leave to support employees when they need time off for family matters.
Disability for when employees are unable to work due to illness and injury
Retirement Savings options (required in CA for 5+ employees)
And, if you have 50+ employees, you're required to offer health insurance.
These laws are in place to protect your employees and your business, and laws vary from state to state. Make sure you’re staying compliant with these requirements in both where your business is located, as well as where your employees work.
The Standard Benefits: Medical, Dental, Vision, and Retirement
Ok, so now that we’ve gotten the requirements out of the way, let’s talk about the benefits you should consider if you want to compete for talent.
It shouldn’t be a surprise that offering health insurance (medical, dental, and vision) is one of the most sought-after benefits. Many small businesses are at a stage where they can’t offer this, but as you’re starting to grow your team, think about how there are plenty of affordable group plans out there. If that still feels like too much, look into HRAs (Health Reimbursement Arrangements) where you can reimburse employees for health-related expenses. This option is a great first step in supporting the health and wellness of your team.
Retirement plans are another must-have these days, but even if you’re a small business, it’s doable. State-sponsored plans like CalSavers (CA) or Secure Choice (NY) help businesses without their own 401(k) programs get employees started with retirement savings. You can also explore SIMPLE IRAs, which are great for small businesses that want to offer retirement options without the administrative burden of a 401(k). Bonus points- this is a great tax savings on the business as well!
Additionally, life insurance is another way to add a perk without breaking the bank. I spoke with Gabrielle Rodriguez, Registered Representative & Agent at New York Life, who shared the following:
“Employee benefits aren’t getting any cheaper these days. How can you be a competitive employer, while keeping costs down? That’s where voluntary insurance benefits can help. They allow you to add to your benefits package, but they put employees in the driver’s seat, and are virtually no cost to you. Working with New York Life provides protection from an insurance company who has received the highest financial strength ratings currently awarded to any U.S. life insurer. Our suite of fully underwritten insurance products can go a long way toward providing further peace of mind for your employees and their families. In addition, you will have personal assistance with a NYL agent who will assist with the entire process.”
Sounds like a win win to me!
Think Outside the Box: Creative and Affordable Benefits
Benefits don’t always have to come with a hefty price tag to be meaningful. There are a lot of low-cost, high-impact perks that you can offer that employees will absolutely appreciate:
Flexible Work Arrangements: The ability to work remotely or adjust hours is huge these days. For a lot of small businesses, offering this type of flexibility costs nothing, and it can be the deciding factor for a candidate, and retain your best people!
Learning & Development: Providing access to online courses, paying for certifications, or even bringing in a coach for personal development is an excellent way to keep your employees engaged. Plus, when your team learns new skills, your business benefits directly.
Wellness Perks: Mental health days, free gym memberships, or even a monthly stipend for wellness activities are fantastic ways to show your team that you care about their well-being.
Volunteer Time Off: Allowing employees to take time off to volunteer in their communities is a great way to give back and build camaraderie within your team. It’s also a meaningful way to engage employees without adding a hefty price tag.
How Benefits Help Your Business
Let’s not forget: offering good benefits is just as much about your business as it is about your employees.
By giving your team members things like PTO, flexibility, and learning opportunities, you’re building a culture that values work-life balance and growth. This, in turn, attracts high-quality candidates who are looking for more than just a paycheck- they want a place where they can grow, feel supported, and bring their best selves to work every day.
And when you delegate tasks, give employees the opportunity to develop their skills, or support their wellness, you’re also improving your bottom line. Employees that feel supported, valued, and engaged are less likely to leave, saving you the cost of turnover and helping you build a strong, consistent team that will take your business to the next level.
Benefits aren’t just for your employees- they provide a solid foundation for your business as well! By offering competitive and creative benefits, you’re investing in your business’s future, and it doesn’t have to cost you an arm and a leg. Start with the basics that are required, but think beyond that. A small gesture like a wellness stipend or flexible work schedule can go a long way in keeping your employees happy and attracting top talent.
Invest in your people, and they’ll invest in your business. What creative benefits are you thinking of offering to your team?
