Flex benefits have been a hot topic in the last few years. There’s been even more interest in them as employers have tried to adjust to a new and changing landscape.

One thing that’s become clear is that flex benefits aren’t just the purview of the very large or the very small. Organizations of all sizes should be considering flexible benefits. Here are five reasons why.

1. Retain Current Employees

One of the biggest advantages of a flex benefits plan is that it helps you keep current members of your team. This is true for organizations of any size.

It can increase the perceived value of their benefits, especially since flexible benefits plans offer value to more people. If a team member can use their flex dollars to cover mental health assistance, while another could get catastrophic health coverage, both of these team members are likely to feel they’re getting their money’s worth from their benefits package.

Compare that with a traditional benefits plan, where employees only have limited mental health benefits. The employee who needs catastrophic coverage can’t get it. The employee who uses their mental health benefits may find it’s not enough.

Neither of these employees will be satisfied with their benefits package. They might feel they can be better compensated at a new job.

2. Attract New Employees with Flex Benefits

Flex benefits also attract new employees. The talent market is likely going to tighten up soon. People may decide to depart old jobs, but many employers will be re-hiring and adding new positions as they return to the “new normal.”

If you need to expand your team, you could find it difficult to attract the right people. A better benefits plan is appealing. The most talented people will be more likely to consider your business, even if you’re not paying the highest per-hour wage.

3. Improve Employee Satisfaction (and Productivity)

Better benefits help you retain employees and lower turnover by improving employee satisfaction. When people feel like they’re getting good compensation, they’re more likely to be happy at their job and want to stay.

Perceived benefits value can affect how employees assess their compensation. Good benefits also help them feel supported and cared for, increasing their satisfaction.

Not surprisingly, increased employee satisfaction and happiness translate into higher productivity. People who aren’t worried about how they’re going to pay for a short-term illness or disability are more likely to bring their A-game to work.

The result? Your employees are more likely to give you their all when they have the right flex benefits behind them. They can use those benefits to get the support they need, when they need it.

4. Address Employee Needs Effectively

There’s more diversity in the workplace than ever before. It’s one of the biggest reasons employers have seen strain on and dissatisfaction with traditional benefits plans.

Older employees may be worried about catastrophic health coverage or disability insurance. By contrast, younger members of your team are more likely to recognize mental health as a priority. They might want benefits focused on wellness, mental health, or even helping them with finances.

Flex benefits work to satisfy all employees’ needs. The ability to address these needs effectively helps your employees recover and get back to being their best selves in the office.

5. Keep Benefits Costs in Check

Finally, flex benefits helps employers of all sizes keep benefits costs in check.

Flex benefits allow your employees to make better use of their benefits dollars. As a result, you’re no longer wasting money on benefits no one wants or uses. By trimming the “fat” out of your benefits plan, you can both keep costs in check and offer your employees more of what they actually want.

The Future Is Flexible

As you can see, flex benefits have some major advantages. It doesn’t matter whether your organization has five team members or 500. Everyone can benefit from a more flexible and customizable plan.

Ready to get started redesigning your benefits plan for 2021? Get in touch with our team and discover how the right technology could help you design a more effective program for your team.

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