As we’ve elaborated in our previous blogs, employee benefits are one of the top ways to improve morale, performance, and retention at the workplace. But there’s often a dilemma: how can business owners provide effective benefits without exhausting their budgets?
The good news is that there are several benefits—some legally required and others optional—that can drive employee satisfaction without hurting your bottom line. Let’s explore both categories in detail.
Legally Required Employee Benefits (In the U.S.)
1. Health Insurance
Health insurance is a mandatory benefit if your business has 50 or more full-time employees, as per the Affordable Care Act (ACA). It boosts trust and loyalty in your organization and is one of the most valued benefits for job seekers.
2. Medical Leave
Under the Family and Medical Leave Act (FMLA), eligible employees are entitled to unpaid, job-protected leave for specific family and medical reasons—ensuring well-being during critical times.
3. Social Security
As a business owner, you’re required to contribute to Social Security taxes via payroll deductions. This benefit supports retirement, disability, and survivor benefits for your workforce.
4. Retirement Plan Contributions (401K)
While optional, offering a retirement plan—especially with employer matching—has become a standard. It allows you to support employees in planning their financial future while benefiting from tax advantages.
Additional (Voluntary) Employee Benefits That Boost Performance
1. Parental and Maternity Leave
Over 25% of companies now offer paid parental leave, including for adoptive parents. This benefit is increasingly a deciding factor for potential hires and helps you build a more inclusive workplace.
2. Student Loan Repayment Assistance
With U.S. student loan debt averaging over $22,000 per borrower, offering support—either annually or up to a lifetime max—can make a huge difference in attracting and retaining younger talent.
3. Volunteer Hours
Providing employees with a set number of paid hours per year to volunteer fosters a sense of purpose and social responsibility, which translates into higher engagement at work.
4. Employee Assistance Programs (EAPs)
EAPs offer mental health resources, counselling, legal guidance, and career support. They’re essential for helping employees manage stress and personal challenges effectively.
Why These Benefits Matter
Providing thoughtful, well-structured employee benefits can:
-
Improve employee productivity
-
Increase retention and loyalty
-
Strengthen your company’s reputation
-
Attract top-tier candidates
-
Build a healthier workplace culture
Ready To Build a Performance-Driven Team?
To outsource professionals who already have many of these benefits taken care of, partner with us at F5 Hiring Solutions. We provide ready-to-onboard talent that fits your needs and comes with performance potential baked in.
We Hire What You Desire.
