As an employer, making the decision whether you should choose a 401k plan or a group health plan can be a difficult one.
Employees have similar characteristics like consumers, and they value benefits from the company they choose to work for.
Before accepting a job, most employees will weigh the various employee benefits that are indispensable to them.
Retaining the best taskforce in your business requires you to pull out all the intrinsic stops to encourage them. But, how do you determine which employee benefit to adopt first?
Stable retirement and viable health insurance plans are both paramount for your employees. Diligently selecting the best plan ensures that you retain your best employees and motivate them to be more productive.
A report by the Bureau of Labor Statistics indicates that 69% of employees in the private sector have access to health insurance. Arguably, group health insurance is a crucial benefit in any organization.
Since medical costs are incredibly costly, employees want assurance of a reliable group health insurance plan. A plan that covers their spouses and family will boost their morale of working in your organization.
A 401(k)plan is a sponsored retirement account where your employees contribute a specific amount. The retirement strategy offers employees retirement wealth. Employees contribute a variable amount of money as dictated by the IRS.
If you need help finding which plan makes sense for your company, schedule a plan discussion with us or take 30 seconds to find which plan is best for your company with The Retirement Plan Evaluator.
Involving your employees in decision making is integral in making the right decision. Ask your employees which employee benefit intrigues them the most.
Every employee is in a different situation, but if you are to only adopt one plan, it’s best to keep their interests in mind
Your employee’s age, family dynamic and gender might also help decide which plan is best for your company.
If most of your employees are younger and still on their parent’s health plans, then going with a 401(k) plan might be best.
On the other side of the coin, if they all have families and insurance is a top priority for them, maybe a health plan is better suited for your workforce.
Either way, it’s best not to guess.
If you need help finding which plan makes sense for your company, schedule a plan discussion with us or take 30 seconds to find which plan is best for your company with The Retirement Plan Evaluator.
.