Creating an Employee Benefits Package for Your Small Business
One of the best ways to attract and keep the best employees is to offer a competitive and generous employee benefits package.
Small businesses are becoming more and more popular for people who are looking for new ways to earn. Sometimes, people get tired of their 9-5 jobs and decide to become their own boss by establishing their very own small business. As an employer and a small business owner, you get to know your employees better since the number of people in the business is quite small. The personal connection you make with them may have you considering ways to offer your employees benefits. However, if it doesn’t, you can consider the fact that offering your employees some benefits may be enough for them to take the position even if it is a slightly lower paying job. It may make the difference to your employees and it may be the way to keep your best employees working for you.
Offering Employee Benefits
Since yours is a small business, you would want to know if a benefits package is affordable and realistic for you to give. Putting together a benefits package for your small business can be worth the effort if you know how to use your funds wisely.
According to Neal Murthy, the managing director of Indalo Solutions, business owners should start with assessing how much time is available to invest in the process of creating a benefits package. Neal Murthy states that “the business owner should consider whether she has the time (and/or resources) to investigate benefits on her own. If so, she can go to individual benefits solutions providers and conduct a direct comparison. Otherwise, she may wish to contact a benefits consultant and/or outsourcing agency to conduct the research/analysis.”
Talking directly to your employees is also an important step. The whole point of creating a benefits package is, after all, to provide for their needs. Knowing what they need will give you an idea of what to offer them in the package. Consider the demographics of your employees. Neal Murthy points out the questions that you need to ask.
- What are your employees’ age or demographic?
- Where do they live? Do they live near each other and near the place of employment?
- What do they consider important in their time off from work? Is there a common interest among them? For instance, do most have an interest in gym membership?
- What type of compensation is being given to the employees? Is it performance-based?
Understanding what is important to your employees will then help you provide a package that meets their needs. When you are able to do this, you can keep the package simple and, therefore, affordable. You do not need to give more than what they need since you have already identified what they do need.
It is up to you how much time and effort you can give into creating a benefits package for your employees. It may be a lot of effort but in the long run, it will be helpful for your employees and ultimately, for your business.