Employee Benefits Toolkit for 2016 & Beyond
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EMPLOYEE BENEFITS TOOLKIT 2016 & BEYOND Jim Hill Vice President-Employee Benefits
Transcript of Employee Benefits Toolkit for 2016 & Beyond
EMPLOYEE BENEFITS TOOLKIT 2016 & BEYOND
Jim HillVice President-Employee Benefits
OverviewWays to lower your benefits cost without lowering
coverage
Understanding Flexible Benefit Programs
Voluntary Benefits
The advantages of an Employee Assistance Program (EAP)
Health Reimbursement Accounts
Paid time off and the Fair Labor Standards Act
Cost of Health CarePhysician Services: Primary Care Physician Visit $145.06Specialist Visit $203.17Routine Exam Visit $140.67Well Baby Visit $260.86Obstetrical Care (vaginal delivery) $2,750.38
Hospital Services: Inpatient Admission $25,816.53Maternity (regular delivery) $10,790.60Maternity (C-section) $15,760.54Outpatient Surgery $2,499.29ER Visit $1,478.24
Diagnostic TestsMammogram $253.17Colonoscopy $1,152.10Cardiac Stress Test $288.02Chest X-ray $97.71MRI $1,105.58CT Scan $1,015.63
Rx – Retail:Brand $348.98Generic $32.23
Rx – Mail:Brand $945.98Generic $67.61
Maximizing Employee Benefits Employers need to make the most of costly health benefits in terms of appeal, value and utilization
Urgent Care vs. ERASCMail Order Technology Benefits Statement
Voluntary Insurance Overview
Benefit Features
• 100 percent employee-paid• Payroll deduction (sometimes tax-
advantaged)• Portable• Convenient to purchase
Voluntary Options
Allows flexibility for employees to decide how to spend their discretionary income on additional products and services that fit their needs
DentalVisionLifeDisabilityAccidentAuto/Home/Umbrella
Does your organization offer any of the following pre-tax flexible benefit options under Code
Section 125? (Check all that apply)
A. Health Care Flexible Spending AccountB. Pretax Employee Premium ContributionsC. Full Flex PlanD. N/A
Does your organization offer any of the following pre-tax flexible benefit options under Code Section
125? (Check all that apply)
Source: Zywave 2013 Employee Benefits Benchmark Survey. © 2014 Zywave, Inc. All rights reserved.
Flexible Spending Accounts (FSA)
What is an FSA?
A flexible spending account is an account in an employee’s name that can reimburse the employee for qualified health care or dependent care expenses. It allows an employee to fund qualified expenses with pretax dollars deducted from the employee’s paychecks
Flexible Spending Accounts (FSA)
Types of accounts
There are two different types of FSAs:
• Health care accounts • Dependent care accounts.
Yes
No
Do you have an employee assistance program?
Do you have an employee assistance program?
Source: Zywave 2013 Employee Benefits Benchmark Survey. © 2014 Zywave, Inc. All rights reserved.
44% No
Yes 56%
Employee Assistance Programs (EAPs)What do EAPs cover?
Alcohol or substance abuse Psychological or psychiatric problems
Financial problems Gambling addictionLegal problems Financial problemsSmoking cessation Legal problemsDivorce/marital problems EldercareStress managementChild careEating disorders
Employee Assistance Programs (EAPs)
What is an EAP?
An employee assistance program is an employer-sponsored program that offers services to help you deal with personal problems.
Health Reimbursement Account(HRA)
HRAs are employer-funded arrangements that reimburse employees for certain medical expenses.
The employer determines the amount of money available in the HRA, which is typically an amount less than your annual health plan deductible
What are HRAs?
Health Reimbursement Account (HRA)HRA Advantages
Reduction in PremiumTax Savings
The employer’s contributions to your HRA can be excluded from your gross income, meaning you don’t pay taxes on that money.
Reimbursements from your HRA are tax-free when used to pay for qualified medical expenses (which are the only expenses they can be used for). Out-of-pocket Expense Reduction
Often paired with an HDHP, reimbursement from your HRA will make it much easier to meet your deductible while taking advantage of a health plan with lower premiums.
Paid Vacation While time off from work is often viewed as an earned employee
benefit, a whopping 66% of employees were found to have neglected to use all of their vacation.
Not Federally Enforced!-No legal obligation to offer vacation time
Length of employment Part time vs. Full time
Paid Vacation Vacation Policy Ideas: 1. Unlimited Vacation
2. Mandatory Vacation
3. PAID, Paid Vacation
4. Summer Hours
Other Benefit Programs Discount Programs:
Automobile Tire DiscountIdentity FreudLong Term CareMovie Theatre TicketsSwimmingComputer/Technology ReimbursementGolf/Skiing/BikingLongevity AwardShopping Discounts
Jim HillVice President-Employee Benefits
Twitter: @theskyhill
Thank you
