The end of the year is approaching, making this the perfect time to ensure employee benefits don’t go unused. “By encouraging full use of these benefits, you support your employees’ well-being and boost domestic spending,” writes Anni Hyökyvaara, CEO of Smartum.
Tax-free employee benefits are a cost-effective and engaging part of rewarding your staff.
Smartum closely monitors the use of employee benefits. Especially now, with rising costs and many facing tighter finances, it’s worth checking the status of your benefits. On a yearly basis, unused benefits can amount to hundreds of euros per employee.
Benefits that boost domestic spending
The impact of Smartum benefits on domestic spending is truly remarkable.
The most popular uses for Smartum benefits include:
- sports and culture benefits, and
- massage benefits.
Especially in workplaces where benefits are distributed in January, employees often use them to purchase items such as:
- ski lift tickets, and
- Museum Cards.
In addition to familiar benefit options, companies should consider trying new types of benefits and different benefit practices. For example, dental care is among the top uses for Smartum’s health benefit. A health benefit is an excellent way to support employee well-being holistically.
FlexBenefit are great from an employee’s perspective, as everyone can choose what best supports their well-being. For employers, this means less time spent figuring out the perfect package for everyone — because a one-size-fits-all solution rarely works.
The benefit budget is put to good use
During economically challenging times, benefits are a cost-effective way to reward employees. Employers don’t pay payroll-related costs on benefits, and they can, of course, deduct them from their company’s taxes.
Read more: How to get the most out of your benefit budget
For employees, tax-free benefits are a welcome perk. Depending on the type of benefit, the tax-free limit can range from hundreds to several thousand euros.
Finns value the benefits they receive, so even with a tight budget, using it wisely can boost employee retention — possibly even more effectively than a raise or performance bonus.
Smartum is a trusted partner for employee benefits
With FlexBenefit, you set a lump sum within your benefit budget that employees can use as they wish.
This also reduces your workload, as you no longer need to decide what best supports your employees' well-being. Someone who enjoys working in the office can use their balance for commuting benefits, while someone struggling with neck and shoulder tension can recharge at the gym or with a massage.
FlexBenefit promotes equality by allowing everyone to use their benefits in the way that suits them best.
With a health benefit, you can also optimize occupational healthcare costs, as benefits are invoiced based on actual usage.
