Health insurance can add up — how much is a benefits plan really worth?
If you have recently graduated from high school or college and are on your way into the workforce, you've got a lot of important decisions to make — including figuring out your health benefits options — to keep you feeling and looking your best. allaboutthebenefits.com gives you the information you need to make better health benefits choices.
It may not seem like that much money because the premiums come out of your paycheck monthly — but your health insurance is incredibly valuable. Benefits add up to a significant chunk of your overall paycheck. Here's a breakdown of what a small company with fewer than 50 employees might spend annually on a young, single employee earning a $25,000 salary.
Example Annual Benefits Costs
- Health Insurance $3,034
- Dental Insurance $120
- Life Insurance $75
- Disability $300
- 401(k) Plan $750
- Social Security/Medicare $1,913
- Two weeks paid vacation $962
- Three paid personal days $289
- Workers' Compensation $500
- Unemployment Compensation $784
Total: $8,727
That's $8,727 your company spends on you, hoping you'll stay healthy and happy. Add that number to your base salary and it goes up by 35 percent, which means you are really being paid $33,727. Even though you don't directly see that money, it is money well spent on you!
