Healthcare expenses can be a burden to your employees. Luckily, there are things you can do as an employer to help decrease this burden. Here are a few ways to help your employees with their healthcare expenses and support them the way they support your business!
Pick Up More of the Insurance
In the United States, employers pay an average of 82% of the premium for a single coverage plan. This can help spread the cost of healthcare expenses between you and your employees. You get to choose the options for the healthcare plan and the options. Plus, the contributions you make to a premium for your healthcare plan are not subject to taxes. Picking up more of the premium can help reduce the healthcare costs to your employees. You can also have your company participate in wellness plans that can help your employees stay healthy and avoid further increasing the cost of your healthcare plan.
Add an FSA or HSA Option
FSA or HSA can be good options to add to help decrease the burden of healthcare expenses on your employees. You need to be on a low-deductible health plan for an FSA or Flexible Spending Account. With an FSA, reimbursements can be made based on what is planned to be contributed to the account for the year, pre-tax. To qualify for an HSA, you can be on a high or low-deductible health plan. HSA plans roll over contributions and can also be invested to earn tax free profits. An FSA or HSA can help cover the cost of all kinds of things, including a new pair of glasses.
Tiered Networks
Enrolling on a plan with tiered networks can help save on healthcare expenses. Broad networks are in demand. However, often having a narrow network can allow for more efficient and quality use. To help with on demand broad networks but also more efficient providers, you can enroll in a tiered program. These programs make different groups for providers, and are based on the cost effectiveness. Preferred tiers contain providers with less cost, while other providers on less-preferred tiers may cost more. Some plans can be tiered based on primary care versus specialists. This allows employees to utilize different providers while having lower cost options.
Decreasing costs for your employees can help to relieve financial burden. Healthcare expenses are one area where you can make an impact. You can decrease the burden of healthcare expenses by picking up more of the insurance, adding FSA or HSA options, or enrolling with tiered networks.
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