Financial Corner: Designing a Benefits Package for your Small Business
Editor's Note: This content is sponsored by Aegis Capital
By Aegis Capital
May 26, 2026: If you're a small business owner, you face many challenges in growing your company. One of them is recruiting and retaining the best talent for your needs.
When your primary goals are managing costs and increasing revenue, how do you sufficiently entice new recruits and reward current staff members for continually putting their best efforts forward? One way is ensuring that you provide a competitive, cost-effective benefit package comprised of both traditional and not-so-traditional benefits.
Traditional benefits
In order to remain competitive, employers should offer some form of health insurance and retirement savings plan.
Health insurance
Small businesses can typically choose among traditional plans or managed care/health maintenance organizations (HMOs). Traditional plans are typically more expensive but tend to provide more access to providers. HMOs generally carry lower costs but have fewer options for care providers. Some small employers opt for a high-deductible health plan (HDHP) along with a health savings account (HSA). In an HDHP, employees carry a higher burden for up-front costs, but the HSA allows them to set aside money on a tax-advantaged basis to help defray these costs.
The Affordable Care Act's employer mandate requires employers with 50 or more employees to provide comprehensive and affordable health coverage to their full-time employees. Employers who do not comply with the mandate can face financial penalties.
Retirement plans
In today's economic and political environment, most adults view retirement planning as a high financial priority. That's why it's important to include a retirement savings option in your benefit package. There are several options available to small employers, including traditional 401(k) plans, SIMPLE savings plans, and SEP-IRAs. A financial professional can help you choose the plan that's right for your company's needs.
Other options
Other traditional benefits include the following group insurance policies:
-Life insurance: These policies generally provide employees' survivors a death benefit in a set amount or an amount based on salary (e.g., two
times salary).
-Disability insurance: These plans provide employees with an income stream should they become disabled. Benefit amounts are typically a
percentage of salary.
-Vision and dental coverage: These plans tend to be highly valued by employees, as the costs associated with dental and vision treatments, which are generally not covered by health insurance, can be quite high.
Not-so-traditional perks
In addition to traditional benefits, there are several not-so-traditional perks you can offer to help set your organization apart in the competition for talent.
Wellness programs
Some employers offer workplace-based wellness programs. Wellness programs help improve overall employee engagement and encourage individuals to take responsibility for their own well-being. Wellness programs may include smoking cessation, weight management, health risk assessments, mindfulness coaching, stress management, and on-site fitness training.
Flexible work arrangements
In today's hectic world, time is nearly as valuable as money. A company that values the work-life balance of its employees is nearly as highly valued as one that offers the best insurance or retirement plan. For this reason, offering flexible work arrangements may help you attract and retain employees.
Some examples of flexible work programs include:
-Flex schedules: work hours that are outside the norm, such as 7:00 a.m. to 4:00 p.m. instead of 8:00 a.m. to 5:00 p.m.
-Condensed work weeks: for example, working four 10-hour days instead of five 8-hour days
-Telecommuting: working from home or another remote location
-Job-sharing: allowing two or more employees to "share" the same job, essentially doing the work of
one full-time employee (e.g., Jan works Monday through Wednesday noon, while Sam works Wednesday afternoon through Friday)
-Part-time or a combination: allowing employees to cut back to part-time during certain life stages, or use a combination of strategies to meet their needs. Allowing your employees to tailor their work schedules based on their individual needs demonstrates a great deal of respect and can generate an enormous amount of loyalty in return. Even if your business requires employees to be on-site during standard operating hours (such as a retail establishment), having a process in place that supports occasional paid time off to attend to outside obligations can have tremendously positive effects. These obligations might include doctors' appointments, family commitments, and even unexpected emergencies, such as a sick relative. In some cases, these benefits have no costs associated with them, while in others, the costs may be minimal (e.g., the price of a smartphone or laptop to help employees remain productive while on the go).
Social activities
Sponsoring periodic activities can help workers relax and get to know one another. Such events don't need to take much time out of the day, but can do wonders for building morale. Bring in lunch or schedule an office team trivia competition or group outing. If you work in a particular industry in which colleagues share a common passion, consider organizing events around that interest. For example, a sporting goods retailer could close up early on a slow-business afternoon and go for a hike or bike ride.
Concierge services, discounts
You may also be able to negotiate with other local companies for employee discounts and services. Laundry service, dry cleaning pickup/drop-off, and meal providers that can deliver hot, family-sized, take-home dinners may help employees save both time and worry--and stay focused on the job.
Financial planning/education
For many people, money worries can be distracting and time consuming. Consider inviting a local financial professional into your office to provide counseling sessions for your employees. While you don't necessarily have to pay for any services provided, simply offering the opportunity to get such help during work hours will be appreciated by your workforce.
Involve your employees
The best benefits are those that meet the needs of your employees. Before making any assumptions, solicit ideas from your employees and then conduct a survey to see what benefits they value the most. Consider putting together teams of associates to help with the idea generation and execution. By involving your employees in the decisions that matter most to them, you demonstrate that you value their time,
efforts, opinions, and hard work.
Although there is no assurance that working with a financial professional will improve investment results, a professional can evaluate your objectives and available resources and help you consider appropriate long-term financial strategies.
IMPORTANT DISCLOSURES Broadridge Investor Communication Solutions, Inc. does not provide investment, tax, legal, or retirement advice or recommendations. The information presented here is not specific to any individual's personal circumstances. To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances. These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable — we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice
Aegis Capital Corp.
Steve & Jane Ircha & Richard Palmadesso
Pictured: Steve & Jane Ircha
Steven Ircha Senior Managing Director 26 Paxton Ave. 914-361-1099
