When Your Employer’s “Benefits” Aren’t What They Seem

Most people assume that when they start a new job, their employer is automatically providing them with a range of benefits. However, this may not always be the case. 

Some employers will only offer benefits after a long probationary period. In other cases, the benefits may be very limited and not cover all the areas where the employee needs coverage. 

Not all benefits are created equal. It’s important to read through your company’s benefits package carefully and figure out which benefits are the best fit for you. 

If you’re not sure what your company’s benefits package includes, ask your boss or HR department for more information. They should be able to help you out. Here are three things to watch out for when you’re reviewing your company’s benefits:

1. Health insurance premiums: Your health insurance premiums are the amount of money you pay each month for your health coverage. Some companies offer lower premiums if you participate in a wellness program, but beware of companies that try to sneak in increased premiums after you’ve been hired.

2. Health insurance copays and deductibles: Your health insurance copay is the amount of money you pay out-of-pocket for each doctor’s visit or prescription. Your deductible is the amount of money you have to pay before your insurance company starts paying for your medical expenses. Sometimes your insurance premiums might be affordable, only to find out that you have to pay a high deductible before your insurance coverage kicks in.

3. Dental and vision insurance: Dental and vision insurance are important for keeping your health costs down, but make sure that the coverage is good. Many companies offer very low reimbursement rates for dental and vision care, which can end up costing you a lot of money out of pocket.

4. 401(k) matching contributions: A 401(k) is a retirement savings account that allows you to save money tax-free. Many companies offer matching contributions, which means they’ll contribute money to your account based on how much you contribute yourself, up to a certain percentage of your pay. This is an excellent way to save for retirement (it’s literally free money designed to encourage you to get prepared for the future), but often companies will offer a 401(k) without matching contributions. It’s still a good idea to have, but your employer isn’t really giving you anything extra.

It’s important to do your research before you start working for a company and to understand what their benefits policies are. If you have any questions, don’t hesitate to ask your employer or HR department. 

1) Review your company’s benefits package carefully and figure out which benefits are the best fit for you. Be sure to ask about health insurance premiums, copays and deductibles, dental and vision coverage, and 401(k) matching contributions.

2) Ask your boss or HR department for more information if you’re not sure what your company’s benefits package includes. Compare different benefits packages and make sure you understand what each one covers. Also check the rates against plans on the healthcare marketplace, if it’s available in your area. 

3) Use the information from steps 1 and 2 to make a plan to get the most out of the benefits that are the best fit for you. For example, if you’re healthy and rarely go to the doctor, you might want to opt for a health insurance plan with a higher deductible and lower monthly premium. If you have a family, you might want to choose a plan with lower out-of-pocket costs and better coverage for dental and vision care.

When reviewing your company’s benefits package, it’s important to be aware of the different types of benefits available and which ones are the best fit for you. Health insurance premiums, health insurance copays and deductibles, dental and vision insurance, and 401(k) matching contributions are some of the most important things to look out for. Make sure to ask your boss or HR department for more information if you’re not sure what something means. Comparison shopping is a good way to find a plan that suits your needs and budget.