Ensure your employee benefits are in check this financial year by answering these 3 simple questions.

The beginning of the new financial year is a prime time for reviewing employee benefits.  If you currently offer benefits to your employees, it’s important to ensure your offering is in peak condition for the year ahead, and if you don’t already offer benefits, it’s definitely worth looking into introducing them, both for their motivational and financial value. 

Like everything, employee benefits need to remain fresh –  for a successful benefits package, you’ll need to make sure your offering remains relevant to your workforce, compliant with legislation, and that your benefits are promoted effectively to ensure on-going engagement.  When reviewing your employee benefits, some key questions to ask yourself are:

Have you taken note of any new legislative changes which may affect your benefits?

It’s essential that your employee benefits always remain compliant with governing legislation.  A good employee benefits provider will help you with this, for example, Wider Plan provide full on-going support, including updates on relevant legislative changes.  Some recent changes to be aware of from the 2015 Budget include amendments to the Personal Allowance and National Minimum Wage, which will affect some employees’ entitlements under salary sacrifice schemes.  Here’s a summary of some key changes:

• The personal allowance has been increased from £10,000 to £10,600 (as of 6th April 2015). 
  
  
• The starting point for 40% tax has risen from £41,865 to £42,385 (as of 6th April 2015).
  
  
• The National Minimum Wage for ages 21 and over is rising to £6.70 per hour in October 2015. If you offer apprenticeships in your organisation, the National Minimum Wage for an apprentice is increasing by 20% to £3.30 an hour.

Do all of your employees know about the benefits on offer?

Effective communication is vital for the success of employee benefits.  Employee benefits such as salary sacrifice schemes usually provide significant tax and National Insurance savings for employees, with National Insurance savings also available for employers.  This generally means that the higher the scheme take-up, the higher your company savings.  Plus, the more your employees’ ‘feel’ the benefit from your benefits, the greater your return in terms of boosted employee morale.   

Creating a ‘buzz’ around your benefits with an effective marketing strategy will ensure that all of your employees are aware of the benefits that you offer.  Most employee benefits providers offer marketing support as part of their service, however, the level of support can vary from provider to provider.  Sarah Davis, Marketing Manager at Wider Plan says “It’s important to continue to promote your employee benefits all year round.  At Wider Plan, we work closely with our clients to develop a bespoke marketing strategy to meet the demographics of their workforce, maximising effectiveness by coinciding promotions with key events throughout the year.” 

Are there any additional benefits you could offer which might appeal to your staff?

There’s a whole range of employee benefits out there, and it’s important to choose the right benefits for your workforce.  Some of the popular benefits at the moment include:

•  Childcare vouchers – providing employees with substantial tax and National Insurance savings on the cost of childcare.  Employers also benefit from National Insurance savings.
  
  
• Cycle-to-work schemes – a perfect benefit for this time of year - providing employees with the option to hire a bike for their daily commute, making tax and National Insurance savings on the cost.  Employers also benefit from National Insurance savings.
  
  
• Holiday purchase schemes – enabling employees to buy additional annual leave, making that all-important work/life balance more achievable.  Employees can make tax and National Insurance savings on the cost of the additional holiday, and employers can make National Insurance savings too. 
  
  
• Workplace Parking – enabling employees to make tax and National Insurance savings on the cost of parking for work, and providing employers with National Insurance savings too. 
  
  
• Technology schemes – providing savings for employees on mobile phones, computers and wider technology, with employer National Insurance savings available on some products.
  
  
• Employee benefits and discounts portals – providing a ‘one-stop’ shop for employee benefits and a whole range of discounts, such as money off at high-street stores.  

If you would like to find out more about the employee benefits available, or how they could help your workforce, call Wider Plan on 0800 612 7440 or email [email protected].