You Won a $5,000 Shopping Spree!Fiscal Fitness Clubs of America
If you won a shopping spree of $5,000 at an electronics store, how much planning would you do before spending day?
We were surprised that most employees only spend an average of 30 minutes on selecting their employee benefits. It seems like our brains just see it as another chore to race through. Considering that the majority of employees also depend greatly on their employee benefits for their financial well-being, this was a surprise to us!
On average, benefits are 30% of salary according to the Department of Labor. Most estimates put the average spent on employee benefits between $5,000 and $6,000 a year. That’s a lot of money to just discount to a chore to get through! In addition, people leave employer money on the table frequently and spend more of their own money through lack of planning. If we won that spree, we’d even put in some of our own money if it meant we got every penny. So, think of open enrollment as a shopping spree or maybe a treasure hunt! (Now that sounds like loads of fun!)
Let’s take this opportunity to spend someone else’s money, seriously! Employee benefits are designed to solve some basic life problems and challenges like retirement, death, disability, medical, dental, vision, and sometimes even financial wellness, physical wellness and legal issues. The cost of the benefits is usually lower than you can get outside of your employer, due of the purchasing power of the group and because underwriting requirements are less. The fact is that so many people who couldn’t qualify for benefits in the open market get coverage because of this. In addition, many of these options get the benefit of tax reductions, again, if you go through your employer and they are withdrawn from your paycheck.
Don’t be one of the 40% who don’t really understand their benefits. Ask questions and treat it like a treasure hunt…because it is!
Take on our fiscal challenge this month: Solving Life’s Problems with Your Employer’s Money by posting your success stories on our blog!
Fiscal Fitness Clubs members can access the pre-work, class video, and tools through the online classroom. Also, they get help in taking advantage of employers’ benefits and in solving problems with the help of a financial coach or by jumping into our monthly Coaching Hours the 3rd Wednesday of the month.
If you want to learn how to present benefits to employees in an engaging way, contact us. We’ve actually been told that our presentations are fun and helpful! (When was the last time you heard that a financial presentation was fun???) Send us an email or set up a call HERE.