Employee Benefit Participation

It’s tough to get employees to participate in benefit programs that they don’t even know exist.

Seventy-one percent of workers lack basic knowledge of standard benefit programs, according to a new study by the American Payroll Association (APA).

Low participation rates

The ASA study  focused on employees knowledge of their company’s pre-tax benefits. While almost three quarters of employees say they live paycheck to paycheck, and would like to stretch their current salaries –

• 52% don’t participate in available flex spending accounts (and 6% of had never even heard of an FSA)

• 17% didn’t know their corporation offered a health savings account or health reimbursement arrangement (46% of those aware of the benefit still don’t participate), and

• 18% are unaware of existing transportation benefits or subsidies their business offers.