Action Steps
The best contacts and resources to help you get it done

Go to an Internet employee benefit plans school

You can get a Human Resources certificate or a professional degree through a number of online universities and other training programs. While most companies will want to see at least a Bachelor's degree, any other certificates you can acquire will aid in your job search. Additional training after you've earned a degree will help as you advance in your career in administering employee benefits programs.

I recommend: McKinley College offers a degree in human resources and business management that you can earn online. Get a two-year Associates Degree in Human Resources from Ashworth College online.

Earn certificates in employee benefits programs

Even after acquiring your advanced degree, you need to keep up with the industry and pad your resume with other certificates and training programs. In addition to the seminars you attend, look for niche subjects to gain proficiency in to enhance your employment opportunities. Add each to your resume after you receive it.

I recommend: Earn an HR certificate that can open doors for you in 12 weeks from Cornell and its online course offerings. Get industry certifications from the National Alliance for Insurance Education and Research.

Join compensation and benefits associations for training

Most professional organizations offer continuing education programs as well as seminars and other opportunities to increase your executive compensation knowledge. Take advantage of the training while you are making those important connections that can land you a job and further your career.

I recommend: The Society for Human Resource Management is a good group to join as a student because they offer professional courses and leads to universities with advanced degrees that are valued in the industry. The Employers Association has a wide range of certificate programs that they offer to professionals to further your career.

Helpful advice for making the most of this Guide

• •  Check with your employer to find out if your company pays for training for employee benefits.

Guide to Offering Employee Benefits

Offer an attractive benefits package that doesn't break the bank

By Frances Sharpe, freelance writer/editor

An attractive benefits package can help you recruit and retain quality personnel. It can also boost productivity and employee morale. The most common employee benefits offered include:

1. Paid time off
2. Health insurance
3. Disability insurance
4. Vision and dental insurance
5. Life insurance
6. Retirement plans

Action Steps
The best contacts and resources to help you get it done

Shop in online employee benefits malls

Several Web-based services offer an efficient way for small businesses to outsource employee benefits, including group medical, dental, life and 401(k) products.

I recommend: eGroupBenefits offers easy online quotes and enrollment, side-by-side benefit plan comparisons with independent advice, and more. BenefitMall is actually a site for brokers who sell to small business, but it's a handy place to learn about the benefit products being offered by top providers.

Offer paid time off

Although you aren't required by law to offer paid vacation, holidays or sick leave, most small businesses do. In fact, you're likely to have trouble recruiting good talent without a vacation policy.

I recommend: Salary.com takes a look at paid time off policies. Payscale.com breaks out average vacation days by more than a dozen criteria, including age and industry.

Find affordable health insurance

Although health insurance costs are skyrocketing, it's one of the benefits employees want most. Whether you choose an HMO, a PPO or a POS, look for an accredited plan that offers adequate accessibility to physicians, affordability and quality. Choosing a health insurance plan that provides prescription benefits makes your plan even more attractive to employees.

I recommend: To research, compare and apply for group health insurance yourself, visit eHealthInsurance.com, which offers small business plans from major carriers. Small business members of the NFIB have access to a wide array of cost-saving health plans for small businesses. Look for a health insurance broker who has experience helping small businesses in your industry at the National Association of Health Underwriters.

Disability insurance

Disability insurance can give your employees peace of mind. This common benefit provides employees with a percentage of their salary if they become injured or ill and can't work. Higher-priced plans provide benefits if an employee is unable to perform his or her job even though they could perform other tasks; cheaper plans only provide benefits if the employee is completely unable to work.

I recommend: UnumProvident and MetLife both offer a full menu of employee benefits for small businesses, including disability insurance.

Vision and dental insurance

Vision insurance plans are fairly basic and there are only a handful of providers, making it relatively simple to choose and administer a plan. Choosing a dental insurance plan isn't so easy, with dozens of providers offering a vast array of options.

I recommend: Vision Service Plan (VSP) is by far the largest provider of vision plans. Delta Dental is the nation's leading dental plan provider. Get the basics on dental and vision plans in the Dental and Vision Insurance Buyer's Guide at BuyerZone.com, where you can also find free quotes.

Life insurance

Offering life insurance shows your concern for your employees and their families. Group term life insurance is often the most affordable option for small businesses.

I recommend: Cigna is an employee benefits solutions provider that offers a number of life insurance options among other insurance products.

Retirement plans

Smaller businesses that offer retirement plans generally offer a 401(k), a SEP-IRA or a Simple IRA. 401(k) plans are generally most appropriate for companies with more than 20 people. If you employ fewer than 20 people, consider a SEP-IRA or a Simple-IRA.

I recommend: Fidelity offers a range of retirement plans, helps you choose the right one for your business and lets you set it up online.

Choose an administrator

If you don't have a dedicated HR employee, delegate administration of employee benefits to a single person. Facilitate these duties by downloading benefits forms available online.

I recommend: Find vacation forms at HRDirect.com. Download forms for medical recordkeeping at GNeil.com.

Helpful advice for making the most of this Guide

• •  Additional employee benefits you may want to consider offering include flextime, parking privileges, education reimbursement and company discounts.
• •  Benefits, such as retirement plans and health insurance, must comply with government regulations. Consult a lawyer or benefits consultant before offering a plan.
• •  You don't have to foot the bill entirely. Most small businesses ask employees to make a contribution toward their health insurance and other benefits.
• •  Survey your employees to find out which benefits are most desirable. Save money by offering only the benefits they want most.
• •  If all of your employees are in their teens or 20s, life insurance may not be necessary.

Action Steps
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Share employee benefits news and trends with other benefits professionals

Blogs are increasingly becoming the media of choice for many small business owners looking for quick and efficient means to communicate with other like-minded professionals. Find an Internet blog that provides trust-worthy information and attracts reliable posting participants.

I recommend: Benefits Blog is run by attorneys so that small businesses can keep in touch with changing laws that affect the employer environment. Precepts runs a blog that is frequented by human resource professionals to discuss the issues surrounding company benefits.

Read up on changes in employee benefit services

Compensation and benefits continue to dominate many of the HR publications available online and in hard copy print versions. While you may get email alerts from your employee benefits provider, it's a good idea to stay on top of the industry as a whole so that you can know about changes that may not be a part of your current provider's offerings.

I recommend: Benefit News is the online version of the popular magazine Employee Benefit News. Milliman is an employee benefits consulting firm that puts out a quarterly newsletter. On the website you also can retrieve past issues to get you up-to-date.

Receive employee compensation email alerts

While most business owners are trying to clear out their inboxes to save time, you should allow at least one information provider to get into your email with alerts about new employee benefits products and ideas. You shouldn't miss out on vital group employee benefits alerts just because you want to avoid spam.

I recommend: Choose the best topic of email alerts that are sent out regularly by Thompson, including one on Pension and Benefits. Sign up for employee benefit plans email alerts and read other important news and information at Bnet.

Helpful advice for making the most of this Guide

• •  Make knowledge a premium in your company by charging each of your employees to read or subscribe to at least one magazine or newsletter and share employee benefits news and trends they've uncovered at staff meetings.

Action Steps
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Effective date

The effective date is the date when your benefit coverage begins. It is important to know this date so that you don't try to use a benefit before your coverage kicks in. For example, if you start a new job in August, but don't get paid until September, you might have a health insurance benefit effective date of October 1.

I recommend: You can see an example of one employer's medical insurance effective date rules at The California State University website.

Explanation of benefits (EOB)

After you or your health or dental provider files an insurance claim on your behalf, you will receive an explanation of benefits (EOB) by mail or email. The EOB specifies the services you received, the amount your insurance company will pay and the amount you are responsible for.

I recommend: For more detailed information about EOBs visit HealthLink.

Summary plan description (SPD)

A summary plan description or SPD is the document that summarizes your health or retirement benefit plan in plain language. The SPD explains the plan features, how benefits are calculated and paid and how to file a claim. When you have a question about your benefit, consult your SPD.

I recommend: You can learn more about summary plan descriptions at the U.S. Department of Labor website.

Qualifying event

A qualifying event is a major life change that can affect yours or your dependents' eligibility for benefits. Getting married, having a baby or experiencing the death of a spouse are examples of qualifying events. When you have a major change in your life, be sure to inform the human resources department where you work. A qualifying event may allow you to make changes to your benefits coverage.

I recommend: For an expanded list of qualifying events, visit the University of Illinois website.

Open enrollment

In most companies, there is one period of time during the year when you may enroll for new benefits or make changes to your current benefits. If you miss this enrollment window you will not be able to make changes to your current benefits until the next open enrollment period. The exception may be when a qualifying event occurs in your life.

I recommend: For tips on making good decisions at open enrollment visit SmartMoney.

Voluntary benefits

Voluntary benefits are optional benefits that employees, not the employer, pay for. Life insurance, long-term disability insurance, cancer insurance and critical illness insurance are typically offered as voluntary benefits.

I recommend: To learn more about voluntary benefits visit MainStreet.com.