It’s that time of the year when companies are renewing their employee benefit plans. Lots of members and friends in my personal network are learning the not-so-jolly news💸 that they will either have to contribute more for the current healthcare coverage, or they will have to compromise for a downgraded health plan.
A few tips to share on how to make the best of your job benefits:
- 🧮Do the math: figure out the actual amount that you will receive after all the healthcare and other benefit deduction. Here’s a great calculator that can help you do the math and balance your 2022 budget.
- 🧐Brainstorm alternative: if your deductible is increasing, does your employer offer flexible spending accounts to offset some costs? If both you and your partner are working, maybe compare the health benefits and see if it makes better sense to switch to the better option. If you feel like you’re running out of options, you can also start looking for other companies that might offer better benefits.
- 🙋♀️Ask for advice: it can be very overwhelming to figure out these terms and conditions. Go to the HR or benefit consultant for clarifications. Ask your own tax adviser. And if necessary, talk to your employer directly if you have concern about your shrinking paychecks.
What are your experiences when choosing your benefits? Any smart savings tips?