Do I Have to Provide Employee Benefits in the US? 

Employers are expected to contribute towards employee benefits in the US, including their health insurance plans as it is not universally provided by the government.  

This video talks through what percentage employers should contribute towards plans, and how using a US Employer of Record can save you sourcing quality healthcare plans. 

Here are some common FAQs on employee benefits in the US.

  • According to the Affordable Care Act (ACA), all full-time employees in the US (who work 30+ hours a week) are eligible for an employer-sponsored healthcare plan.

    For employers with 50 or more full-time employees to comply with the ACA, they must offer health insurance that meets ACA-established minimum coverage and affordability requirements.

    Employer-sponsored health coverage must also be available to the employees’ dependents.

    If you do not offer health insurance to your US employees, you will have to pay a fee to the IRS per employee, per year.

  • The US Bureau of Labor Statistics provides some insightful data on average employee contribution costs across the US:

    • Employee benefits for private industry workers averaged at $13.17 per hour worked (30% of employer contribution costs)

    • Life insurance was available to 57% of private industry workers via their employers in 2022.

    • Retirement and savings costs for private industry US workers averaged $1.36 per hour worked.

 
 
 

Offer Top Employee Benefits via PGC

Offering competitive employee benefits in the US is crucial for attracting and retaining talented workers, as it is often a deciding factor for job offers. 

Through PGC you will be able to offer all your US employees an Affordable Care Act compliant medical plan, with three different health insurance medical plans, two different dental plans, as well as vision insurance.  

Standard US employee benefits employers offer include:  

  • Health insurance plans 

  • Retirement plans (401(k)) 

  • Vision insurance  

  • Dental plans  

  • Commuter Benefits 

  • Short and long term disability 

  • Pharmacy RX 

 

There is a minimum contribution to your employees' benefits in the US that you would have to provide each month.  

PGC’s US Employer of Record service not only provides your employees with comprehensive benefits. We also manage payroll, and back office HR tasks, including administration and renewal of benefits, and provide your workers with a Workforce Experience Team.