Analyze employee benefits plans Research and discuss employe

Analyze employee benefits plans   Research and discuss employee benefits plans for small businesses. This involves searching the library/Internet for appropriate information. As an alternative you may interview a small business owner/HR manager.

Answer each of the following. You may want to use tables for comparisons.

• Describe at least two employee benefits plans typically offered by small businesses. What issues do you find with the different types of plans?

• Select one of the above you would need in order to start or run your preferred type of small business.

• Explain why you chose the plan. Is each plan needed to start the business, or could some plans be added at a later stage?

• Describe the company\'s financial and managerial responsibilities in regard to the type of plan you chose.

• Describe the potential costs and reporting requirements of the plan you chose

Solution

Two employee benefits plans typically offered by small businesses are Health Care and retirement.

Health care:

Health care covers the dental and medical expense, employee paying lower premium for huge medical expense that employer taking part for employee medical expense. Employer participation in medical care of employee may happy.

Employee saves money.

Employee gets good health for working. Healthier employee can produce the output more efficiently and effectively.

Medicare only provides for health plan

Retirement Benefits

Employer making an arrangement of finance after the employee retirement.

Retirement plan can be provided by employer even insurance company etc.

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I select Retirement Benefits Plan preferred for small business.

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Why i have choose because, when employees are youth can do hard work as well as battle the life while taking a risk but after retirement, old ones cann\'t do hard work they need financial support, most of them not at all interest to taking a risk. They need peaceful life. Yes the plan is needed to start the business.

Listed the advantage of retirement plan

Employer contributions is a tax free

It gives job satisfaction and stay in the organisation for long time at the same time and reduce the new employees training cost.

Retirement plans allow employer to invest  for financial security  up to when  employees retire.

As a bonus, employer and  employees get significant tax advantages and other incentives.

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Employer have to meet their responsibilities with plan sponsors, employers need to understand some basic rules,

specifically the Employee Retirement Income Security Act (ERISA). ERISA sets standards of conduct for those

who manage an employee benefit plan and its assets (called fiduciaries). Meeting  by the  employer to

Fiduciary Responsibilities provides  an overview of the basic retirement plans under the law.

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