Benefits & Job Expenses Chapter 2, Section 2-4 Benefits & Job Expenses

I can… Find the total job benefits Find the net job benefits Compare the net job benefits of jobs

What are employee benefits? Also called “fringe benefits” Employers provide other things to their employees besides wages Low cost health care/insurances Paid holidays/vacation time Sick leave pension Company car Uniforms Child care Education Recreational facilities Credit unions

How do you know what your benefits are? It can be stated in money amounts OR as a benefit rate, which is a % of gross pay. Employee Benefits = benefit 1 + benefit 2 Employee Benefits = benefit rate x gross pay When considering different job offers be sure to take both wages and benefits into consideration. Total job benefits = gross pay + benefits Example 1, p.59 Check your understanding A & B

So how much of my benefits do I really get to put in my pocket (net)? To find out you have to calculate your “net job benefits.” First figure out your job expenses. Examples: Union or professional dues Commuting expenses (how much it costs to drive) Uniforms Licenses Tools Net job benefits = total job benefits - job expenses Example 2, p. 60 Check your understanding C & D

So how do I decide which job is better if I have a few to choose from? You should think about the following things when comparing jobs: Net job benefits How much you like the jobs Likelihood of getting a raise or promotion Chances of layoffs Job security Example 3, p. 60 Check your understanding E & F