Introduction
Employee Benefits Basics
Employee benefits are considered to be a perk for working for certain companies. They are designed to help support you as an individual, and to help retain quality employees. Please watch the following video, and then answer the attached questions. All questions should be typed, and turned into your Google Classroom folder.
1. What are employee benefits?
2. What are four required employee benefits in the U.S.? Briefly describe each one.
3. What is the Affordable Care Act?
4. If an employer staffs less than 50 employees, do they have to offer health insurance benefits to their employees?
5. How many hours per week does a person have to work in order to qualify for employer health benefits?
6. What are some different types of voluntary benefits an employee can get from their employer?
7. Why do employers offer voluntary benefits to their employees?
Task
Voluntary benefits can be a selling point for many individuals when they are searching for employment. It is important that you understand what these benefits are so that you can determine if they are worth purchasing. For example, some employers provide flex spending accounts for childcare costs. If you do not have children, and do not see having children in the future, then you wouldn't want to sign up for these types of benefits.
Please watch the following clips, and answer the attached questions:
1. What is the purpose of health insurance?
2. Why is group insurance through your employer less expensive than purchasing insurance individually?
3. Why should you read you insurance plans closely before choosing your plan?
4. Does health insurance cover going to the dentist or eye doctor?
1. What is disability insurance?
2. What is short-term disability insurance, how long does it last, and how much of your normal income will it supplement?
3. What is long-term disability insurance, how long does it last, and how much of your normal income will it supplement?
4. Do a quick Google search and see if you can find out how much short-term& long-term disability insurance will cost/month.
5. What are the pros & cons of disability insurance?
6. Would you purchase disability insurance? Why or why not.
1. What is the purpose of life insurance?
2. What are the two main types of life insurance? Explain what each of these are.
3. What sort of personal factors would motivate someone to purchase life insurance?
4. What is the best type of life insurance?
Dental & vision insurance are pretty self explanatory on what they cover, and often times they are provided by your employer. They tend to be relatively inexpensive under these group plans, and come highly recommended to get if possible. However, there is some controversy over purchasing these plans independently.
1. What is the controversy of purchasing dental and vision insurance?
2. Would you purchase these plans independently? Explain why or why not.
1. What is a 401(K)?
2. What is 401(K) matching?
3. When do you pay taxes on the money you put into your 401(k)?
4. What is a vesting period, and what purpose does it serve?
Read the following article on 401(k)s and summarize the main points>
https://www.usatoday.com/story/money/nation-now/2017/02/16/investing-saving-opening-401k/97087608/
Process
Employee Paid Time Off (PTO) can come in a variety of different packages offered by an employer.
- Sick leave - Accumulated time (typically 10 days/year) that an employee can miss work due to medical or family medical reasons, and still be compensated. This would typically cover time needed for being sick, a funeral, or time to take care of a family member.
- Vacation leave - The amount of time varies by the employer, the type of work you perform, and the amount of time you have been employed with that company. For example, teachers typically only get two vacation days per year. However, they have time off in the summer to supplement the rest of the year. In the private sector, it is common for an employer to offer anywhere from two - four weeks of vacation time. Some employers allow their employees to roll-over their unused PTO allowing them accumulate mass amounts of personal time. Others require you to work for certain length of time before you qualify for PTO.
1. Why do employers offer PTO?
2. What are some pro's to offering PTO?
3. What does the Family Medical Leave Act (FMLA) require of employers?
4. What do you think people who are not offered PTO from their employer do when they are sick?
5. Do you think PTO should be a right or an incentive? Defend your answer.
Evaluation
Training
Some employers offer on the job training, or have incentives to help support you going back to school to get additional training. This typically comes with agreements that you will work for this company for so many years, or face pay-back penalties for not fulfilling your obligations that the company invested in you.
Many careers in the trades such as electricians, HVac, automotive technicians, ect, will train you on the job through an apprenticeship. After a certain length of employment, they will send you back to school to get certifications or licenses. These will help advance you on a salary schedule, and make you more employable.
1. What are apprenticeships?
2. What sort of requirements must an employer do in order for a person to do an apprenticeship?
3. What sort of issues are people graduating from college in STEM careers having?
4. What sort of issues are employers in manufactoring experiencing?
5. How does the apprenticeship at the BMW plant in Spartanburg, SC work for an employee?
Conclusion
Choosing an employer to work for, the type of work you will be doing, and the benefits of working for that company are all important aspects of job satisfaction. The best advice that can be given is to lay out your options, balance the pros and cons, and trust in yourself that you are making the right decision.
Other employee benefits -
●Merchandise discounts
●Social/recreational programs
●Free parking
●Tuition Reimbursement
●Company newsletters
●Daycare on site
●Workout areas
●Employee counseling