Good Benefits are a Part of Good Pay

Don’t forget to factor in the value of healthcare benefits—they add up!

When considering a new job, it’s only natural to look for the one with the highest pay. Benefits are great, but they aren’t the same as money in your pocket. Right?

Wrong! A job with good benefits can absolutely equal more money in your pocket. At Sirois, we believe in providing the very best in healthcare coverage for our work force—and we wanted to take a little time to show you exactly what that can mean.

Below is a chart that shows how much out-of-pocket cost a person could incur with an average plan provided by another employer versus Sirois as well as some examples.

Example #1:

A Connecticut resident, 24 years old, working 40 hours a week (2,080 hours annually) at $25 an hour, has a total income of $52,000 (before taxes).

Say that this is a single person. They would be expected (on average) to use their health insurance like this over the course of a year: 1-2 doctor visits, some preventative care lab testing, 1-2 surgeries or procedures, 1-2 prescription drugs.

Single person’s annual medical costs:

• $1,190 (12 months of premiums)
• $950 additional deductible
• $500 additional out of pocket
• $350 additional for one emergency room visit

That adds up to $2,990, which translates into almost $1.50 an hour out-of-pocket—and that’s provided you only use the minimum coverage.

Some younger employees don’t think much about medical coverage, because they don’t think they’re going to need it. That’s not always true—health problems and accidents can happen to anybody. Suppose the unexpected happens, like a broken arm. That means a lot more expenses that our employees just don’t have to worry about.

Example #2

A Connecticut resident, 32 years old, working 40 hours a week (2,080 hours annually) at $30 an hour, has a total income of $62,400 (before taxes).

Say that this is a married person with two kids. They would be expected (on average) to use their health insurance like this over the course of a year: 6-8 doctor visits, some preventative care lab testing, 4-6 surgeries or procedures, 4-6 prescription drugs.

That average cost of health insurance for a family of four in Connecticut is $534 per month, which equals an annual cost of $6,408. Total costs could look like this:

• $6,408 (12 months of premiums)
• $950 additional deductible
• $500 additional out of pocket
• $700 additional for two emergency room visit

That’s a total of $8,798, which translates into almost $4.25 an hour out of pocket—and that’s provided you only use the minimum coverage.

You can see why choosing a job because the pay is $2 more per hour doesn’t always make sense.

Since our health insurance benefit means ZERO additional cost for our employees and their family members, that premium is covered in full. That alone can equal a bigger paycheck for you than other jobs that might seem to pay more at first glance.

Our plan even includes dental coverage—at NO additional cost.

So, you see—you might be incurring hundreds or even thousands of dollars in additional out-of-pocket medical payments if you choose a job without good healthcare benefits. Always include benefits when you are considering a new job. Do the math beyond just the salary! It will pay off in the long run.