Benefits That Help You Hire and Keep Good People

Pay matters, but benefits are often what makes someone say yes to a job, or stay in one. The U.S. Small Business Administration (SBA) puts it simply: "Healthcare and other benefits play a significant role in hiring and retaining employees." This guide looks at what other employers offer, using 2026 government and survey data, so you can see where your package stands and where a small change could matter.

What workers commonly have access to (March 2026)

The Bureau of Labor Statistics (BLS) surveys employers every year. Here is what it found for private industry workers in March 2026:

Source: BLS, Employee Benefits in the United States, March 2026.

Size makes a big difference

The same BLS data shows how much access depends on employer size. In March 2026:

• Medical care: 55% of private industry workers at establishments with 1 to 49 workers had access, compared with 86% at establishments with 100 or more.
• Retirement plans: the figures were 55% and 87%.

KFF's 2026 Employer Health Benefits Survey found something similar for firms with 10 or more workers. In 2026, 98% of firms with 200 or more workers offered health benefits, compared with 66% of smaller firms. Smaller firms that did not offer health benefits most often said the main reason was that the "cost of insurance is too high."

If you are a small employer, offering a core benefit that many small competitors don't offer may help you stand out. That is a reasonable conclusion from the numbers, not a guarantee.

Core benefits: the foundation

Health coverage

Health coverage is the benefit most people look for first. Options include traditional group plans, plans bought through the SHOP Marketplace (generally for employers with 1 to 50 employees, per HealthCare.gov), and health reimbursement arrangements (HRAs). HealthCare.gov describes HRAs as a type of group health plan that lets employers help employees pay medical expenses, including individual coverage premiums in some cases. See Choosing between plan types.

Retirement plan

The DOL/IRS booklet 401(k) Plans for Small Businesses says a 401(k) "helps attract and keep talented employees." IRS tax credits can help small employers with startup costs. See 401(k) basics for employers.

Paid time off

Paid holidays, sick leave, and vacation were the most widely available benefits in the BLS data. Some states require paid leave, so check your state's rules.

Extras that can set you apart

These benefits are less common. That can make them stand out to candidates.

• Dental and vision. BLS found 44% and 29% access in private industry in March 2026.
• Disability insurance. Short-term disability was 44% and long-term disability 37% (BLS, March 2026). The SBA notes that disability coverage is required in California, Hawaii, New Jersey, New York, Rhode Island, and Puerto Rico.
• Paid family leave. About half (49%) of private industry workers had access in March 2026.
• Help with student loans and education. IRS Publication 15-B (2026) says a recent law (P.L. 119-21) permanently extends the exclusion of up to $5,250 a year in employer educational assistance from income. This includes payments toward an employee's student loans. In the BLS data, access to student loan repayment help ranged from 3% for the lowest-paid quarter of workers to 15% for the highest-paid quarter (March 2026).
• Dependent care assistance. Pub 15-B lists a 2026 exclusion of up to $7,500 ($3,750 for married employees filing separately).
• HSA contributions. If you offer an HSA-qualified plan, even a modest employer contribution can soften the deductible. See Starting an HSA or FSA program.
• Other perks. The SBA lists common incentives such as flex time, wellness programs, stock options, corporate memberships, and company events.

Part-time workers

BLS data show a big gap. In March 2026, 87% of full-time private industry workers had access to medical care, compared with 23% of part-time workers. If you depend on part-time staff, offering even one benefit to them, like paid sick leave or a retirement plan, may be worth looking at. Check plan rules and the law before changing who is eligible.

A made-up example

This example is made up to show the idea. It is not real data or advice.

A 25-person bakery can't afford a rich health plan. It looks at the BLS numbers and decides to:

1. Offer a SHOP health plan and pay half of employee-only premiums. It then asks its tax adviser about the Small Business Health Care Tax Credit.
2. Start a simple 401(k) with automatic enrollment, using the IRS startup credits.
3. Add a few paid sick days for part-time staff.

None of these is required for a business this size under federal law. Together, they give the bakery a clear story to tell candidates.

Benefits only help if people understand them

A benefit nobody knows about can't help you hire. Put your benefits in job postings and offer letters, and explain them in plain words at open enrollment. The SBA also suggests detailing benefits in your employee handbook. See Open enrollment communication.