What are Voluntary Benefits?

Voluntary benefits are employee benefits that are offered voluntarily, meaning that employees can choose to enroll in them or not. These benefits are typically offered in addition to the traditional benefits that companies provide, such as health insurance, retirement plans, and paid time off.

The main advantage of voluntary benefits is that they allow employees to customize their compensation packages to fit their personal needs and preferences. By offering a range of benefits, companies can attract and retain a diverse workforce, as employees can choose the benefits that are most relevant to their lives.

What are Some of the Most Popular Voluntary Benefits?

Following are some popular voluntary benefits that companies can offer to their employees.

Flexible Work Arrangements

Flexible work arrangements are becoming increasingly popular as more employees seek better work-life balance. Companies can offer various flexible work arrangements such as remote work, flexible hours, or compressed workweeks. 

 Examples:

• Remote work options (working from home one day a week)
• Flexible hours (7:00 am – 3:00 pm instead of 9:00 am – 5:00 pm)
• Compressed workweeks (working four 10-hour days instead of five 8-hour days)
• Job sharing (two employees sharing the responsibilities of one full-time job)

Offering flexible work arrangements allows companies to help employees save time and money on commuting, reduce stress, and improve their overall well-being.

Wellness Programs

Wellness programs are another popular voluntary benefit that companies can offer to promote employee health and wellness. 

These programs can include gym memberships, fitness classes, meditation workshops, or on-site wellness activities. companies can reduce healthcare costs, increase productivity, and improve employee morale by investing in employee wellness.

Examples:

• Gym memberships or fitness classes
• On-site fitness activities (yoga, Pilates, or weightlifting)
• Meditation or mindfulness workshops
• Health and wellness coaching
• Wellness challenges or competitions

Employee Discounts

Employee discounts are a great way to help employees save money on everyday expenses. Companies can offer discounts on products or services, as well as travel and entertainment. 

Examples: 

• Discounts on company products or services
• Travel discounts (airline, hotel, or rental car discounts)
• Entertainment discounts (movie tickets, theme park passes, or museum admission)
• Local business discounts (restaurants, retail stores, or gyms)
• Exclusive access to employee-only deals

This enables companies to show appreciation for their employees’ hard work and help them stretch their paychecks further.

Financial Planning

Financial planning is an important aspect of employee wellness that companies can support through voluntary benefits. Companies can offer financial planning resources such as retirement planning, budgeting, and investment advice. 

By providing financial planning resources, companies can help employees feel more secure in their financial futures and better prepared for unexpected expenses.

Examples:

• Retirement planning resources (401(k) or IRA planning)
• Budgeting and financial goal-setting tools
• Investment advice or consultations
• Financial wellness workshops or webinars
• Access to financial planning professionals

Paid Time Off

Paid time off is a valuable benefit that employees appreciate. Companies can offer additional paid time off, or allow employees to buy or sell vacation days. By offering paid time off, companies can help employees recharge, reduce stress, and improve their work-life balance. 

Examples:

• Additional paid time off beyond what’s offered by the company’s standard PTO policy
• Flexible scheduling during peak travel seasons (summer or holidays)
• Compressed workweeks during slow periods (working four 10-hour days instead of five 8-hour days)
• “Use it or lose it” policies for unused PTO at the end of the year 

Education Assistance

Education assistance is a valuable benefit for employees who want to further their education. Companies can offer tuition reimbursement, scholarships, or professional development opportunities. By investing in employee education, companies can improve skills, increase job satisfaction, and reduce turnover. 

Examples:

• Tuition reimbursement for job-related courses or degrees
• Professional development opportunities (conferences, workshops, or online training)
• Scholarships for employees or their family members
• Access to online learning platforms or resources
• Mentorship programs or career coaching

Child and Elder Care

Child and elder care are important concerns for many employees. Companies can offer childcare assistance, elder care resources, or backup care for employees who need it. 

Examples:

• Childcare assistance or reimbursement
• Elder care resources or referrals
• Backup care for employees who need it (emergency childcare or elder care services)
• Flexible scheduling for parents or caregivers
• Family-friendly benefits (parental leave, adoptive leave, or infertility support)

Supporting employees in their caregiving responsibilities means improving employee satisfaction, increasing productivity, and reducing turnover.

Aligning Benefits with the Employee Well-being 

Offering a range of benefits that employees can choose from can be a key differentiator for organizations seeking to attract and retain top talent. These benefits not only demonstrate a commitment to employees’ well-being, but can also have a positive impact on productivity, morale, and employee retention while also promoting employee satisfaction, well-being, and saving money. 

At the same time, it is important to understand what employees want and need and to offer benefits that align with their individual preferences and lifestyles.