Benefits
Set up benefit plans
Define medical, life and other benefit plans with their monthly cost and the employee and employer shares, activate them for enrollment, and re-price existing enrollments.
3 min readLast updated
In this article
A benefit plan describes a benefit you offer, such as health insurance, life insurance, housing or transport, and what it costs each month: the part the employee pays and the part the company pays. Creating a plan costs nobody anything. Pay changes only when employees are enrolled and their enrollment is active.
Create a plan
Open People › Benefits › Benefit Plans and select New plan.
Enter the Plan name and choose the Category. The category decides which line the employee's deduction appears on in the payslip.
Optionally enter a Code, unique across plans, and the Provider.
Choose the Coverage type and enter the Coverage amount, the insured limit.
Enter the plan's Monthly cost.
Under Contributions, choose the Contribution type and fill in the shares (see below).
Tick Mandatory if every eligible employee is expected to join, then select Save.
A new plan is saved as a draft. Open its Actions menu and select Activate to make it available for enrollment.
How the contributions are calculated
Fixed amount: enter the Employee contribution and the Employer contribution. Each side pays exactly that amount every month, whatever coverage the employee chooses.
Percentage of the monthly cost: enter the Employee share (%) and the Employer share (%). Each share is a percentage of the monthly cost, adjusted for the coverage the employee chooses:
Coverage chosen on the enrollment | Cost basis |
|---|---|
Employee only | Monthly cost × 1 |
Employee + spouse | Monthly cost × 1.5 |
Employee + children | Monthly cost × 1.8 |
Family | Monthly cost × 2.5 |
For example, a plan with a monthly cost of 1,000, an employee share of 20% and an employer share of 80% costs a family enrollment 500 for the employee and 2,000 for the company each month.
A plan can be activated only when it can produce a cost: at least one fixed contribution above zero, or a monthly cost with at least one share above zero.
How a plan reaches the payslip
The employee's monthly cost is deducted from the payslip of every active enrollment. A health insurance plan appears as medical insurance, a life insurance plan as life insurance, and every other category as other insurance.
The employer's cost is recorded on the payslip as a company contribution and is not deducted from the employee.
Benefit deductions never take pay below what is left after social insurance; if pay is too low, the deduction is reduced to what remains.
Change a plan's price
Edit the plan and change the cost or the shares, then select Save. Changing the cost does not re-price the employees already enrolled.
Open the plan's Actions menu and select Apply new cost to enrollments.
Confirm. Every live enrollment on the plan is re-priced to the current cost. Payslips already processed are not affected.
Suspend or delete a plan
Suspend stops the plan being offered for new enrollments. Existing enrollments continue and keep being deducted. Activate makes it available again.
Delete works only when the plan has no pending, approved, active or suspended enrollments. Cancel those enrollments first.
Common questions
I changed the price but the payslip still shows the old amount. Run Apply new cost to enrollments, then process the next payroll. Each enrollment keeps the price it was given until you apply the new one.
Is a mandatory plan deducted automatically from everyone? No. Employees still need an enrollment. See benefit enrollments.