By allowing your employees to decide where their benefits money goes, you're giving them the power to take care of themselves the way they see fit. (Photo: Shutterstock)

Under a traditional benefits plan, your employees may be getting health care options they don't need at the expense of options they do need. Most plans offer a specific set of benefits to all the recipients, and this system often comes at the expense of your employees' health and happiness. Employers often feel like they have to settle for this approach to benefits, but a better alternative does exist.

Working with a great adviser rather than a traditional benefits broker opens up more opportunities to give your employees control over the types of benefits they receive. By allowing your workers to choose their benefits, you offer them a customized, cost-effective experience that positively affect them and your business as a whole.

A personalized benefits experience

Imagine if everyday spending experiences worked the same way that they do in the benefits industry. A stranger would spend $200 on groceries for you and your family, but the items they bought for you were the same ones they bought for every other family in your neighborhood. You may not need diapers like the new parents down the street do, and, understandably, you'd probably be frustrated that the money spent on an unneeded item had essentially gone to waste.

Related: 3 benefits changes that will boost employee engagement

This spending practice is just as wasteful in the benefits industry, but it's also the norm. Rather than following the status quo, however, your benefits adviser can offer a more “a-la carte” benefits experience in which each employee receives a designated amount of money to put toward their benefits. From there, they choose which benefits they receive. If left unused, the funds can't be funneled back into their paycheck, meaning that your employees don't have to face the difficult choice between using that money for their health or using it for their bills.

Paying for what's needed

Traditional benefit packages often take a one-size-fits-all approach, and you and your employees end up paying the price. While plans that encompass generalized benefits (such as primary care) may apply to every employee's pursuit of better health, more specific benefits may not.

Say, for example, that your plan devotes a significant amount of money to vision benefits. This could be vital for an employee who wears glasses, but for an employee who's had 20/20 vision their whole life, this represents valuable funds that could've been better spent elsewhere.

This is also a financially wise decision to make for your business. The funds you devote to your employees' benefits should be used to keep your workers healthy, and if your employees are lacking coverage where they need it most, their health could suffer as a result. This could lead to:

• Decreased productivity
• Increased absenteeism
• Higher turnover rates
• Expensive emergency medical procedures

By allowing your employees to decide where their benefits money goes, you're giving them the power to take care of themselves the way they see fit.

More control, happier employees

Under a status-quo benefits plan, your employees' care is placed in the insurance company's hands. These large corporations aren't looking out for your business or your workers' best interests, and their one-size-fits-all approach to benefits often reflects that.

Giving your employees more control by allowing them to choose their own benefits can lead to:

• Improved financial wellness
• A better understanding of their benefits plan
• Feeling valued in the workplace

Your employees deserve the best possible care, and they have a better chance of getting it when they have the power to define what that care should look like for them. The more involved your employees are with their own benefits plan, the happier they'll be with both the plan itself and their overall work experience.

Choices that count

Giving your employees the power to choose their own benefits is a decision that provides them with a better experience while also having a positive impact on your business. A personalized benefits plan gives your workers the care they need while ensuring that your money is going where it's needed most.

Read more: 

• 5 technology and data trends affecting employee benefits
• 3 strategies to encourage wiser benefit selection
• Recommendation tools make a big impact on employees' benefit selection

Jim Blachek is co-founder of The Benefits Group.