Is salary everything when it comes to choosing your job? There is more to decent pay than the dollar amount on the paycheck and the value of a good benefits package can’t be overlooked.
Research by the Robert Wood Johnson Foundation, an organization dedicated to public health, shows that less than 60% of Americans have health insurance through their employers. Yet your benefits package can make a difference far into your future and even into your retirement.
What are some of the reasons that health benefits matter in your job? Should you go as far as to take a lower paying job if the benefits are better than a higher paying rival?
Good Benefits Package Saves You Money
It’s easy to look at salary alone when assessing a job offer, but the right benefits package can save you money and contribute to your income in other, but equally important ways. For example, think about the amount of money you could pay out if you needed medical or dental treatment, optometrist visits, or ongoing prescriptions.
A benefits package that covers medical and dental will significantly decrease the amount you have to pay, and also help to absorb the shock of a large payment if you fall ill or have an accident.
It’s easy to think it won’t happen to you, but it easily could, and a benefits package can be the difference between being able to pay for treatment and not.
Good Benefits Package Is Convenient
A good benefits package from your employer makes it easier to take care of your health. It’s important to evaluate what an employer is offering (more on that in a moment), but once the decision is made, you don’t have to worry about it anymore. Your employer will take care of your benefits package for you.
Many employers also offer benefits packages with great fringe benefits such as gym membership or cardiac check-ups that make it easy to look after yourself and get healthier.
Good Benefits Package Protects Your Future
As well as protecting you against high medical fees if you fall ill or have an accident in the future, a good benefits package helps you to plan for a comfortable retirement.
It’s easy to go for a job with a higher salary thinking that you will put plenty aside, but before making that decision, look at the benefits packages on offer and assess how much they will help you put aside. Unless the higher paying job can match or equal that, it’s not the better choice.
Choosing a job with the right retirement package can make a different to the standard of living you will have when you retire, or even how long you will have to work before you can retire.
How to Evaluate a Benefits Package
As the article “Key Health Insurance Terms” explains, different health insurance plans have different terms and will differ as to the amount of money you will contribute.
When assessing a benefits package make sure you understand what exactly is being covered and whether you will be expected to contribute from your wages or by means of co-pays.
For example, if you are comparing two jobs, one with a salary of $32,000 per year and one at $30,000 per year, both with benefits, the choice may not be straightforward. If the higher paying one comes with high co-pay rates, or takes $200 out of your monthly check, it may actually cost you more.
When it comes to choosing a job, a good benefits package is worth a great deal.
Health insurance, retirement planning and covering the costs of ongoing care if necessary can save you in both monetary terms and in terms of reducing stress and worry if you become ill, making good benefits worth more than a higher salary.
About the Author: Tristan Anwyn writes on a wide variety of topics, including social media, SEO, benefits packages and saving for retirement.