If your company offers these perks, you can opt in and pay for them using payroll deductions. Although these benefits are often employee-funded, meaning that your employer doesn’t necessarily pay part of the cost, they can be cheaper than alternatives purchased on the open market. That’s because employers can often negotiate lower prices than individual consumers. These supplemental benefit options are popular with employees and employers alike. Aon, a professional services firm that administers voluntary benefits programs, reported a 41% increase in the number of clients offering these benefits between 2021 and 2022. The company said that employee registration increased in more than half the benefits categories offered.
Alternate names: supplemental benefits, voluntary group insurance
Examples of Voluntary Benefits
According to Aon, popular voluntary benefits include critical illness insurance, accident insurance, hospital indemnity, permanent life insurance, and student loan assistance. If your employer offers voluntary benefits, you’ll most likely pay the cost yourself through payroll deductions. Less commonly, your employer may choose to pay part of the cost. Again, you’ll usually pay less for voluntary benefits than you would if you paid for them out of pocket, regardless of whether your employer chips in. Depending on the type of benefit offered, you may be able to pay your contribution pre-tax, which offers significant cost savings. For example, common pre-tax benefits include:
Flexible Spending Accounts (FSAs)Health Savings Accounts (HSAs)Dental insuranceVision insuranceCancer insuranceAccident insurance
Types of Voluntary Benefits
Employers can offer just about any kind of benefit they wish, provided that they adhere to labor and tax laws. Some of the more popular voluntary benefits are as follows.
Supplementary Health Insurance
Employers can choose to offer voluntary benefits that cover more than their traditional health insurance programs. These may include:
HSAs/FSAsDentalVisionFertility coverageCritical illnessCancerEmergency hospital transportationHospital indemnity
Financial and Security Benefits
Financial benefits can help you manage your short- or long-term financial health. You’ll find these benefits under this umbrella:
Life insurance Disability insurance (including short-term, long-term, and supplemental policies) Long-term care insurance Financial planning Tax preparation or planning Student loan repayment College tuition reimbursement ID theft Legal services
Family and Work-Life Balance Benefits
Other benefits focus on helping you care for your loved one or manage your responsibilities outside of work:
Adoption assistanceChild careEldercarePet insuranceGym membershipsConcierge services
How To Find Companies That Offer Voluntary Benefits
Want to work for a company that offers some of these benefits? Tailor your job search to target employers that provide the perks you want.
Check Best Employer Lists
Pay attention to best employer lists and other news stories about companies that offer competitive benefits and perks. Especially when the job market is tight, employers want to be known for offering benefits that distinguish them from their competitors. Their marketing teams will make sure you know that they’re offering cutting-edge perks.
Read Employer Reviews
Research companies on Glassdoor, where you’ll find employee reviews of thousands of companies, as well as information about typical compensation and benefits at those organizations.
Use Your Network
Career networking isn’t just a way to find job opportunities—it’s also a good method of finding out more about the perks of working at an organization. Listen to your colleagues, contacts, family, and friends when they talk about their jobs. Do they have any standout benefits that they particularly enjoy? If so, consider adding their employers to the list of employers you’d like to work for.
