As a business owner, you consistently seek methods to stimulate growth while monitoring your financial performance. Offering comprehensive group health, dental, and retirement plans can be a remarkable investment with significant returns.
The Power of Benefits
Beyond simply providing peace of mind for employees, these plans can boost your company’s overall performance. They attract top talent, foster employee loyalty, and reduce turnover, resulting in lower training and hiring costs. Additionally, a healthy and financially secure workforce tends to be more productive, which directly impacts the company’s bottom line.
A Win-Win Investment
Investing in your employees’ wellbeing also resonates with customers. They appreciate companies that take care of their teams. This positive brand perception, in turn, boosts customer loyalty and can lead to new business opportunities. For example, no one will enjoy a “5 Star” resort where the employees are obviously famished and overworked.
Tailored to Your Needs
At SveaBen Financial, we understand that every business is unique. That’s why we offer a range of customizable group health, dental, and retirement plans to suit your specific needs. Our aim is to help you maximize the ROI on your benefit offerings, creating a win-win situation for both you and your employees.
Benefits vs. Pay Rise
Whatever pay rise you give an employee, you have to factor in the Canadian Pension, Tax, and Workers Compensation contributions. This means that for every dollar you pay your employees, you have to pay more than your intended raise.
However, because they will pay taxes on the pay increase, what the employees receive is less than what you give.
For example, if you want to pay the employee $5000 more, you will have to pay $8000. If you don’t, they may only have $3000 in their pocket. At times, employees have taken less home after a pay rise if it pushed them to the next income bracket. Simple pay increases don’t have the impact you would expect, and they can sometimes have a negative effect.
Contrast that with a benefits plan. If you spend $5000 on an employee benefit, they can receive as much as $100 000 to $200 000 in benefits. All of this, done right, can be tax-free.
