Share
Explore BrainMass

Compensation: Benefits

Describe the compensation that you receive in the form of benefits.
Which are "mandatory", and which are "voluntary"?
Of the voluntary benefits, which are taxable, tax exempt, or tax deferred?

Based on some of the following readings:
The following short chapter provides an excellent foundation in understanding the history of the development of federal law and tax policy governing employee benefits:

Employee Benefits Research Institute. (2005). Employee Benefits in the United States: An Introduction. Retrieved May 23, 2010 from: http://www.ebri.com/pdf/publications/books/fundamentals/Fnd05.Prt01.Chp01.pdf

The next chapter provides an excellent overview of employee benefits. It is available in Trident online library:

Arthur, D. (1995). Chapter 8: Benefits. In Managing Human Resources in Small and Mid-Sized Companies. New York: AMACOM Books. (Note: Skim through the section on laws, up to p. 203, then read the rest).

Arthur, D. (1995). Chapter 6: Compensation. In Managing Human Resources in Small and Mid-Sized Companies. New York: AMACOM Books.

Currently E-Books are in EBSCO.

Access to healthcare benefits is one of the key issues in the U.S. This ERBI report provides an overview of the nature of access to healthcare and levels of coverage:

Employee Benefits Research Institute. (2007, March). EBRI research highlights: Employment-Based Health Benefits: Access and Coverage, 1988-2005. EBRI Issue Brief, No. 303. Read pages 4, 5, 8, 11, 14, and 16-21.

Solution Preview

Describe the compensation that you receive in the form of benefits.
Which are "mandatory", and which are "voluntary"?

There is certainly a difference between mandatory and voluntary benefits. Mandatory benefits are those the federal government requires all employers to implement. These include the following:

- Social Security tax
- Medicare tax
- Unemployment fund contribution
- Worker's compensation

All other benefits are considered voluntary. Voluntary benefits are those employers can offer employees and there is not really a limit to how many they can offer. Below is a list of many of those benefits.

"Healthcare-Related Insurance

These employee benefits include things like medical, prescription, dental, and vision insurance.

Life or Disability Insurance

These employee benefits include things like life, short term disability, long term disability, and long term care insurance.

Retirement
These employee benefits include things like pension, 401(k), and all other defined contribution or defined benefit plans.

Paid Leave
These employee benefits include things like vacation, personal, parental, sick, bereavement, military, jury duty, and family leave.

Work Schedule

These employee benefits ...

Solution Summary

This article provides information about compensation in the form of benefits that are given to employees.

$2.19