Benefits Package: A Case Study

For many of us, trying to decide between company benefits and an increase in salary can be very difficult to do. For many, the best part of a benefits package centers around health insurance. A good benefits package is very important to an employee. To me, a good benefits package can be worth more than an increase in salary. According to a survey conducted by Paychex.com, participants were asked to rank the benefits by value and importance when considering a prospective job. The results showed a good health care plan was number one with 32%, vacation time was 25%, pay raise was 15%, employee benefit was 10%, performance bonus was 9% and retirement plans were 8%.

Choose Your Job by Its Benefits Program

When potential employees are job searching, their main focus tends to center around which job has the highest salary. However, unless the salary is significant, the highest salary might not mean that will be the best job offer. When deciding on whether a job offer is good or not, it is crucial to take into consideration the full package as opposed to just the salary offer. Some of the benefits that should be taken into consideration include vacation time, retirement plans, health insurance plans, life insurance and salary.

The Cafeteria Program

This plan is a reimbursement plan that is regulated by the IRS. A Cafeteria Plan can also be used as a reimbursement plan that will allow an employee to contribute a portion of their salary into an account on a pre-tax basis that can then be used to cover medical expenses or child care that was not covered with insurance. There are several aspects of the cafeteria plan to take into consideration such