Benefits of Health & Wellness Stipends
Many companies from are turning to stipends to solve for their employees in more meaningful ways.
Benefits of stipends include:
Employees are healthier and happier when stipends are offered.
People can choose what being “healthy” means to them and how to best achieve it. Where some people may love hiking outdoors, others may prefer to do group fitness classes. How people get healthy might change over time as well as preferences or their lives change.
Companies save money, and get more value out of the money they do spend.
When employers pick perks for employees, employees aren’t has likely to use them since it’s probably not what they’d pick for themselves. When employees pick their own perks, only the money used gets spent, and companies don’t waste money on wasted or underutilized perks.
If using software, stipends are easy to manage.
Since HR isn’t picking, piloting, managing, and communicating the many different health and wellness vendors, and it’s in the hands of the employees to get what they want — the process can take as little as 30 minutes a month to manage. If using a software like Compt, companies can ensure their investment in employees is 100% tax compliant.
While companies don’t need to offer their employees perk stipends, we've found the most successful companies are doing this today. These are the companies who are attracting talent and retaining their team because it’s not about what the stipend is, but rather what it represents. Stipends represent that an organization trusts employees and wants to support them and their individual needs.
Read other resources on the growing popularity and significance of perk stipends: