Ninety-two percent of employers say they plan to keep or increase the number of benefits they offer in 2023. Are you one of them?
And how are employee benefits changing overall? Let’s take a look.
Salary
Could 2023 be a banner year for salary increases? New data indicates that HR executives are planning larger-than-usual salary increases in 2023 thanks to a hot job market and record-high inflation.
A report from Salary.com, which surveyed 1,000 HR professionals, finds that nearly half of U.S. employers plan higher year-over-year budget increases next year compared to 2022. The long predominant 3% raise, which started its decline last year, has been replaced by a median raise of 4% across all employee categories.
Employees would like greater control over their paychecks, and employers are responding.
By offering Edenred’s AnytimePay, your employees will no longer have to wait until payday to receive their wages. Instead, they can instantly add funds from their next paycheck to a prepaid card with the click of a button. They will log into the Edenred Benefits app and choose a funding amount (up to their available limit).
Edenred’s Ticket Restaurant is a meal benefits program that gives employees a monthly meal allowance via a prepaid card. Not only does this relieve the financial burden associated with lunch, but it can also empower employees to make healthier choices – which could lower their healthcare costs.
Commuter benefits will be a hot benefit as employees look for more cost-effective ways to get to and from work. These benefits allow employees to use pre-tax dollars towards commuting costs like public transit, rideshares, and qualified parking expenses.
On October 18th, 2022, the IRS announced that employees who use commuter benefits can now spend up to $300 per month tax-free starting on January 1st, 2023. That’s $20 more each month in tax-free dollars (up from $280 per month). Your employees can dedicate to the cost of taking the subway, bus, train, rideshares, trolleys, light rails, water taxis, ferries, and traditional vanpools. Employees can even use it to cover the cost of parking.
Lifestyle Spending Accounts are wellness plans with various offerings that can be tailored to your employees’ desires.
Employees can use Lifestyle Spending Accounts for health, general fitness, or well-being. Lifestyle Spending Accounts are very flexible and can be used for various goods and services, including athletic and camping equipment, entertainment, pet care, food and dining, continued education, and more.
Lifestyle Spending Accounts help reduce healthcare costs and absenteeism while increasing employee productivity, morale, and loyalty.
It’s nearly impossible to stay up to date on the changes within the healthcare industry, let alone all the other essential benefits you need to retract and retain top talent. Why not let us help?
Schedule a meeting today to ensure you’re offering the most competitive benefits packages available, that they make sense for your changing needs, and that your employees take full advantage of them.
