Taking Your Business to the Gym – Common Misconceptions on Pricing
When I was a poor college student, I worked for the survey center at my university for extra money. Timberland, the New Hampshire-based outdoor shoe and clothing company, had contracted my employer to process their annual employee surveys. As I manually entered the responses into the computer, I was struck by the amount of benefit programs the company offered and the level of satisfaction their employees felt. Timberland is a company that goes above and beyond the standard benefits package. The company offers tuition assistance and a flexible schedule. Employees at their headquarters have access to a fitness center, on-site daycare, dry cleaning services, the company store, and a subsidized cafeteria. No wonder their employees were happy!
Employee benefit packages are vital to attracting profitable gym and retaining quality, long-term employees. Most benefit packages make up 30 to 40 percent of the employee’s total compensation for their position. When the economy is good, employers scramble to offer their employees a range of benefits to keep them from straying elsewhere. However, as we’ve seen during the current economic meltdown, some companies have been reducing the amount of benefits offered to their employees in an effort to save money, keeping only those benefits that are required by law, including overtime pay, worker’s compensation, unemployment insurance, etc.
Most companies offer their full-time staff the standard benefits, including health, dental and vision insurance, sick and vacation days, and life insurance. Others go above and beyond and offer paternity leave, discounted gym memberships, a flexible workweek and a company car. These benefits help promote company loyalty in employees apt to take advantage of them. However, for many employees, the biggest motivator is money, especially in the form of a 401K, profit sharing or regular salary raises.
401(K)
The 401(k) has become a staple of employee benefits at most companies, with the employer matching contributions up to 6 percent. While the economic recession may have caused employers to temporarily stop matching their employees’ contributions, it hasn’t stopped people from investing a pre-tax percentage of their earnings with this retirement fund. However, many people choose to stay with companies that match a certain percentage of their investment contributions, even though they can take their money with them in the event of voluntary or involuntary termination.
When I was a poor college student, I worked for the survey center at my university for extra money. Timberland, the New Hampshire-based outdoor shoe and clothing company, had contracted my employer to process their annual employee surveys. As I manually entered the responses into the computer, I was struck by the amount of benefit programs the company offered and the level of satisfaction their employees felt. Timberland is a company that goes above and beyond the standard benefits package. The company offers tuition assistance and a flexible schedule. Employees at their headquarters have access to a fitness center, on-site daycare, dry cleaning services, the company store, and a subsidized cafeteria. No wonder their employees were happy! Employee benefit packages are vital to attracting profitable gym and retaining quality, long-term employees. Most benefit packages make up 30 to 40 percent of the employee’s total compensation for their position. When the economy is good, employers scramble to offer their employees a range of benefits to keep them from straying elsewhere. However, as we’ve seen during the current economic meltdown, some companies have been reducing the amount of benefits offered to their employees in an effort to save money, keeping only those benefits that are required by law, including overtime pay, worker’s compensation, unemployment insurance, etc. Most companies offer their full-time staff the standard benefits, including health, dental and vision insurance, sick and vacation days, and life insurance. Others go above and beyond and offer paternity leave, discounted gym memberships, a flexible workweek and a company car. These benefits help promote company loyalty in employees apt to take advantage of them. However, for many employees, the biggest motivator is money, especially in the form of a 401K, profit sharing or regular salary raises. 401(K) The 401(k) has become a staple of employee benefits at most companies, with the employer matching contributions up to 6 percent. While the economic recession may have caused employers to temporarily stop matching their employees’ contributions, it hasn’t stopped people from investing a pre-tax percentage of their earnings with this retirement fund. However, many people choose to stay with companies that match a certain percentage of their investment contributions, even though they can take their money with them in the event of voluntary or involuntary termination.