If you are launching a new business, you probably have an ever-growing list of things to do, one of which is to hire the best employees you can find.
If you are about to begin hiring, what kind of benefits package will attract the best workers in your field?
To comply with federal and state law, you must provide certain benefits for your employees:
- Provide retirement and disability benefits by withholding FICA taxes from paychecks.
- Pay federal and state unemployment taxes to ensure unemployment benefits for workers.
- Comply with workers’ compensation requirements.
- Comply with FMLA, the Federal Family and Medical Leave Act.
- Give your employees time off to perform military service, serve on a jury or vote.
Most companies also offer paid vacation and sick leave, as well as healthcare and retirement plans. Some also offer life insurance benefits, and others add dental or vision benefits to the company healthcare program. Keep in mind that you are not required to offer such benefits, but top employees usually expect them.
If you do not comply with government regulations, the Internal Revenue Service will find out about it during a routine audit. The U.S. Department of labor is also conducting more audits these days and will check to make sure your business is in compliance. One tip is to not leave any employee out of your company’s benefits strategy. For example, do not forget to include members of your custodial staff in your benefits plan.
If you are just getting a new company off the ground, you may only need to hire a few employees, but once the business is humming along, you will likely need to add to the workforce. You may think that putting together a good benefits package, complete with healthcare insurance and paid vacation time, will be hard on your budget. However, using good benefits to attract top employees is one of the best investments you can make.