The need for assistance for employee benefits has never been higher. COVID-19 dramatically changed the way we work. Human resources departments across the country are struggling to keep up with compliance requirements, plan designs, administration of employee benefits plans, and the constant flow of new legislation. Balancing these responsibilities with day-to-day business has become a significant challenge.
The thing is, handling these tasks in-house is not necessarily efficient, and it may be costing your company money. Plus, hearing about your employees’ personal health information can expose you to unnecessary risk.
Benefits administration requires a great deal of configuration, customization, and ongoing administrative oversight and maintenance. Handing off at least some of these responsibilities to a trusted and experienced third-party can offer your businesses many advantages.
3 Cost-Savings Benefits of Administration Outsourcing
- Aggregated Benefits
Offering competitive benefits packages can mean major expenses for both employers and employees. Many small to medium-sized businesses can’t offer the benefits they’d like to because of the costs. When you outsource benefits administration, you can gain access to benefits plans at costs competitive with larger employers. Also, you may be able to access additional benefits that you wouldn’t otherwise be able to offer. For instance, a benefits administration company may have access to a discount program that provides discounts on travel and other services to your employees.
- Reduced Liability
Benefits administration is complex, with the rules and guidelines changing all the time. According to the Society for Human Resource Management, compliance with the laws regarding benefits laws and regulation is the top HR concern among businesses. With so many potential pitfalls that could lead to fines, sanctions, lawsuits, and other problems, outsourcing the administration of benefits to professionals offers a layer of protection that you might not have if you handle the task yourself.
- Reduced Technology Expenditures
Outsourcing employee benefits administration also eliminates the need to invest in expensive technology and software solutions to manage enrollment and other benefits-related tasks. For example, benefits enrollment requires filling out multiple forms, along with tedious data entry. PT Business Solutions removes most of that work with an integrated benefits administration system that can also manage employee time and attendance, payroll, and other tasks.
The primary advantage of working with a company like PT Business Solutions is that we delve into understanding your company’s unique culture and needs. We ensure you have the best benefits options while optimizing your packages and minimizing your expenses.