Employee benefits have become one of the most important tools a business has for attracting and keeping good people. They are also one of its biggest expenses. The challenge for employers is finding the balance: offering what matters most to workers while keeping costs manageable. That balance was the focus of a recent virtual panel of benefits, retirement, and financial wellness experts hosted by the Rochester Business Journal and Daily Record.
Start With What Your People Value
Cory Raggi, a principal at Doeren Mayhew Advisors, encouraged employers to identify what will mean the most to their workforce and then find a way to deliver it that fits the business. On the cost side, she pointed to several contribution strategies, including contributing a fixed dollar amount, paying the full cost of single coverage, or covering the lowest cost plan option.
Raggi also urged employers to look past traditional offerings. Health reimbursement arrangements, health savings accounts, supplemental coverage, and pharmacy discount cards can all add real value. She noted that benefits today cover much more than health insurance, reaching into financial, mental, and physical well being. The goal is an employee experience where people genuinely feel taken care of.
Benefits Only Work If Employees Understand Them
A recurring theme was education. Jeffrey Boorjian of MetLife said the value of a benefits package depends not just on what is offered but on how well employees understand it. MetLife’s annual benefits survey shows some encouraging trends, including greater trust in leadership and improved productivity, but employees still struggle with their overall health, particularly physical and financial well being.
Boorjian described what he calls a “success reset,” built around three areas: connection, human skills, and modern benefits. Focusing on these, he said, can help employers improve productivity, loyalty, satisfaction, and overall employee health.
The Business Case for Financial Wellness
Matt Gellene of Bank of America made the case that financial wellness support is no longer optional. Employees increasingly expect help with their finances, and employers are seeing results. According to Bank of America data, nine out of ten employers with financial wellness programs report measurable returns, and 48% of employers that successfully recruited top talent in the past year credit their benefits as a leading reason.
The flip side is just as telling. One in three employees has left a job or considered leaving in the past year because of a benefits issue. The right benefits, Gellene said, can be a difference maker for a business.
Five Generations, Five Sets of Needs
Bill Allen of Paychex noted that five generations now share the workforce, and each has different priorities. He recommended that small businesses consider offering more than one health plan to accommodate those differences. Health advocacy services, employee assistance programs, and a single place where employees can access benefits information in real time can all help people make better choices.
Allen was blunt about the bar employers now face: a health plan and a 401(k) alone no longer cut it. Younger workers in particular are looking for support with financial, mental, and social health.
Don’t Overlook Retirement Plan Compliance
Michelle Cannan of Modern Wealth Management turned to a less glamorous but important topic: retirement plan audits. Many audits are triggered by data rather than chosen at random, so accuracy matters. Employers should make sure what they submit to the IRS and the Department of Labor is complete and correct.
Common red flags include inconsistencies in Form 5500 filings, late deposits of employee contributions, and big swings in participant counts or plan assets. Among Cannan’s recommendations: review retirement plan forms carefully for accuracy, and automate payroll data and contributions so deposits go in on time. Clear, consistent procedures go a long way toward keeping a plan off an auditor’s radar.
The Takeaway
A strong benefits strategy is not about offering everything. It is about understanding your workforce, choosing benefits that make a real difference to them, helping employees understand and use what you offer, and running the plans cleanly behind the scenes. Employers that get this right are better positioned to attract talent, keep good people, and control costs at the same time.