Federal and state governments do not require employers to provide benefits regardless of employment status. You can offer benefits to certain employees and not others, but cannot break discrimination laws when doing so.
Businesses can give employees two basic types of compensation: cash compensation or salaries and benefit compensation. A non-benefited employee is a worker who only receives cash compensation.
For employers that did not offer health insurance to their employees, the two main deterrents are the high cost of coverage, followed by high employee turnover in industries where employees lack sufficient tenure to qualify for benefits.
If a company doesn't offer health insurance but offers you well more in salary than one that does, you may still take the job. In most cases, though, aside from extreme situations, these benefits are the bare minimum of what you should be looking for. Benefits are an importnt part of total compensation.
Typically, you aren't required to offer benefits to your employees. But, most employers do. According to the BLS, 66% of all employees have access to retirement plans, 67% have access to medical care, and 55% have access to life insurance. Offering benefits is a great way to attract and retain employees.
Unfortunately for California employees, whether or not they are considered “part-time” and ineligible for benefits or “full-time” and privy to benefits is solely left to the employer's discretion, except for employees who work 40 hours a week or more.
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Higher pay means improved cash flows and buying power for immediate purchases or investments. Greater benefits, which may be challenging to put an exact dollar amount on, often provide a security net for a health event or during retirement. Employer benefits differ significantly in terms of scope and generosity.
For example, your employee handbook may specify 9 am to 6 pm or state 45 hours per week. Official employer designations regarding full-time employment generally range from 35 to 45 hours, with 40 hours being by far the most common standard. Some companies consider 50 hours a week full-time for exempt employees.
Offering benefits to your employees is important because it shows them you are invested in not only their overall health, but their future. A solid employee benefits package can help to attract and retain talent. Benefits can help you differentiate your business from competitors.
If an employer doesn't offer health insurance, that doesn't mean you shouldn't take the job. As a whole, it can be a phenomenal opportunity to work with an employer for the right combination of compensation and opportunity. Just remember to take all things into consideration--including your health insurance needs.
If you decline individual health insurance through your employer, you can enroll in an Obamacare plan through the Marketplace. Although you most likely will not qualify for any subsidies or other financial assistance. You will only be able to qualify for cost savings if the following applies: 1.
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