{"id":171377,"date":"2023-09-20T08:16:53","date_gmt":"2023-09-20T08:16:53","guid":{"rendered":"https:\/\/www.aihr.com\/?post_type=hr-glossary&p=171377"},"modified":"2025-02-13T12:23:55","modified_gmt":"2025-02-13T12:23:55","slug":"voluntary-benefits","status":"publish","type":"hr-glossary","link":"https:\/\/www.aihr.com\/hr-glossary\/voluntary-benefits\/","title":{"rendered":"Voluntary Benefits"},"content":{"rendered":"\n

What are voluntary benefits?<\/strong><\/h2>\n\n\n\n

Voluntary benefits are benefits employees opt into and may pay a portion of the cost for. They are best understood in contrast to employment benefits. An employment benefit is part of an employee’s contractual compensation, so it is automatically provided, and the cost is part of an employee’s pay.<\/p>\n\n\n\n

Employee voluntary benefits, on the other hand, are benefits the employer makes available for employees to voluntarily participate in. The cost of voluntary benefits can be complimentary or discounted, paid by the employee, or deducted from their paycheck after they opt-in. Many are pitched as workplace perks within a voluntary benefits plan that employees may choose to access.<\/p>\n\n\n

<\/a>\r\n
<\/div><\/div>\n\n\n

Voluntary benefits examples<\/h2>\n\n\n\n

There are several different types of voluntary benefits each employer should consider when putting together their compensation package<\/a>. These are some of the most common examples of voluntary benefits:<\/p>\n\n\n\n

1. Voluntary benefits at work<\/strong><\/h3>\n\n\n\n

Workplace voluntary benefits can include catered meals, an office gym, sponsored classes, or professional development training. These benefits are available to the employee during their working hours or when they are on the office premises.<\/p>\n\n\n\n

2. Insurance<\/strong><\/h3>\n\n\n\n

Insurance is often offered as a voluntary employee benefit. While health insurance might be a standard benefit, employees can personalize their coverage through options like life insurance, pet insurance, critical illness insurance, and other specialized plans, often at more affordable rates through the employer\u2019s voluntary benefits program.<\/p>\n\n\n\n

3. Healthcare <\/strong><\/h3>\n\n\n\n

Voluntary health benefits allow employees to tailor their health coverage to their needs. For instance, vision insurance being a voluntary option, can help save costs for those who don\u2019t need it while offering coverage for those who do. Other examples include dental insurance or access to physical therapy services.<\/p>\n\n\n\n

\"Four<\/a><\/figure>\n\n\n\n

4. Financial <\/strong>benefits<\/h3>\n\n\n\n

Financial wellness has become a new focus in workplace benefits, and the best way to offer this is through employee voluntary benefits. Examples of financial voluntary benefits include financial advisors, savings programs, managed retirement funds, and access to managed investment services.<\/p>\n\n\n\n

5. Wellness <\/strong><\/h3>\n\n\n\n

Wellness<\/a>-related voluntary benefits are often offered as voluntary benefits to allow employees to choose their wellness path. These benefits include gym memberships, meal plans, remote work, hybrid work schedules, and other unique programs the employer may choose to offer.<\/p>\n\n\n\n

6. Other voluntary benefits<\/strong><\/h3>\n\n\n\n

In addition to the types of benefits listed above, employees might also be able to join company sports teams, sign up for events and trips, receive frequent flyer miles for their travels, or participate in contests or other unique, beneficial programs their employer might offer.<\/p>\n\n\n\t

\n\t \t\t\t
\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t

Voluntary benefits quick numbers<\/strong><\/h3>\n

According to a\u202f Goldman Sachs<\/a> report,<\/span><\/p>\n