As an employer, your main goal is to offer the basics: competitive salary, health insurance, PTO, etc. I’ll argue that you should also accumulate a small but powerful lineup of fringe benefits that look impressive in a job listing or on-site interview and act as fantastic buzzwords when shared by word-of-mouth.
Fringe benefits are the small but mighty perks that make your company instantly more attractive to new hires.
They also have a positive impact on your existing employees. These perks are likely to be your employees’ favorite aspects of working for your company — and it’s what they’ll write about when they leave positive reviews on Glassdoor.
If you’re currently looking to add something new to your company’s benefits package, keep reading. We’re discussing the pros and cons of the most popular fringe benefits and offering one idea that’s budget-friendly, effective, and unexpected.
Comparing Popular Employee Fringe Benefits
Giants like Google can afford to put together an impressive and seemingly-impossible list of benefits, from shuttle transportation to free all-day meals. We’re not talking about breaking the bank or investing thousands into trendy and unnecessary perks.
The following are the most standard, widespread, commonly-adopted fringe benefits you’ll want to consider offering in your own company, if you aren’t already:
This may be the most valuable fringe benefit employers can offer their employees — which is why it’s so inherently expensive. A comprehensive insurance package includes high-quality health insurance (for employees and their spouses/dependents), dental and vision add-ons, and even group term life insurance. Insurance is complex to implement company-wide, especially if your firm operates in multiple states, and it’s probably the most expensive benefit on this list. Still, it’s a powerful bonus.
Subsidized Fitness Programs
Many corporate offices offer an on-site gym. What makes companies stand out, however, is providing complimentary fitness classes or boot camp programs in these facilities. Companies without a gym often offer subsidized gym memberships or fitness stipends that cover the cost of related programs. This is one of the easiest fringe benefits you can employ, and it’s one of those shiny perks that looks awesome on a job board.
Due to the constantly rising cost of tuition and the astonishing number of professionals carrying student debt, this perk is rising in popularity. Companies frequently offer tuition reimbursements up to $5,000 per year per employee, and depending on how many take advantage, this is a low-cost high-impact investment. This perk is tax-deductible for employers and tax-free for employees, which makes it a strong contender to add to your list. Plus, it shows that your company has a culture for learning and personal growth.
Retirement Plan Contributions
Finally, we touch on a traditional fringe benefit which has been offered by major companies since the 1980s. Most firms offer 401k plans and corporate matching — so you can stand out by matching at a higher percentage. Even just 2% higher than the average makes a big difference to job seekers, especially those who are already well-established in their careers.
The “Hidden Gem” Fringe Benefit You Should Consider
If you’re looking for a more unique fringe benefit that is cost-effective and highly motivating for employees, you’ll need to go beyond employee discounts and complimentary lunches. We recommend putting your money into a perk that’s highly attractive to new hires and even more beneficial to your existing team: employee recognition programs.
We’re not just talking about outdated points systems here. It’s important to incentivize, recognize, and reward your team in a way that really matters to them and inspires each individual to strive for success in their role.
Here’s what that could look like:
- Setting specific achievement goals that act as a badge of honor for employees.
- Recognizing achievements in real time using mobile apps and social media, and creating a model where recurring recognitions are encouraged.
- Rewarding your employees with gifts earned through a company store, which features popular and coveted products from big name brands.
- Honoring high achievers with custom uniforms, company swag, or branded merchandise that inspire others to ask: “how do I get one of those?”
If you want to maximize the value your company can offer new hires and existing employees, fringe benefits may be a great way to go.
Pay raises are always appreciated. Company parties and trips can be great motivators. But great benefits are a corporate gift that keeps on giving — for both you and your employees.
Whether you choose popular benefits like insurance and 401k matching or you go for a more innovative approach with employee rewards programs, the initial and ongoing investment will bring talented new employees to your company and encourage your existing team to stick around.
Looking for help in implementing a high-quality employee incentive program? Inproma specializes in creating custom systems that incentivize, recognize, and reward employees without you having to run the show. We’re happy to help your company add this effective fringe benefit to your collection. Let’s talk.