Benefits administration platforms are designed to manage employee benefits for companies in a practical and efficient manner.
Depending on the software platform, the system can manage the entire employee benefits package, from health insurance to retirement plans to well-being programs.
Benefits administration is complex and time-consuming when approached manually, which is one of the reasons companies opt for an administration platform to automate some of the process and minimize errors.
It's important to choose the right benefits administration platform. The right tool not only makes things easier for HR teams but also helps to create a better experience for employees. Employees can easily navigate the options available to them, such as modifying information, reading plan summaries, and obtaining necessary documentation without too much hassle.
Two benefits administration platforms include Ease and Zenefits. They both have great features that cater to different needs. However, there are certainly other platforms worth examining.
This article will attempt to compare a number of popular benefits administration platforms, including Ease, Zenefits, and some others.
We will examine features, ease of use, compatibility, and pricing. By the conclusion, you should have a reasonable idea of which solution might be best for you.
Benefits administration platforms are software systems designed to manage all aspects of employee benefits.
They save time and reduce the risk of errors for tasks that would be tedious and prone to error if carried out manually.
Be it enrolling employees in a health insurance plan or tracking retirement contributions, these tools make benefits administration simpler and more efficient.
Benefits administration platforms are particularly helpful for companies that are expanding their workforce or have a complex and varied set of benefits. They provide a single source of readily accessible, up-to-date benefits information for HR teams and employees alike.
The key functions of benefits administration platforms include:
These platforms emphasize the changes associated with open enrollment.
In addition, they address qualifying life events - making it easy for the employee to navigate the chosen path to select, change, or renew their benefits packages through user-friendly guided processes.
Ultimately, behaviors lead to informed decisions that are aligned with personal and educational institution policies.
Real-time tracking of employee benefits data and eligibility status is paramount.
The platform is a repository of information to enable process efficiencies related to administering benefits while reducing errors and discrepancies.
Organizations that navigate complex legal frameworks and these platforms can be a great help.
Regulations like the Affordable Care Act (ACA), benefits platforms are tools to take the manual labour out of compliance, reporting requirements, and documenting records.
Establishing employee self-service capabilities leads to employee empowerment and reduces HR workload by allowing employees to access benefits details independently, compare plants, update selections, and change personal and family details securely and conveniently.
Works well with existing payroll systems, human resource information systems (HRIS), and insurance carriers; benefits platforms support organizational efficiencies.
This automatic data syncing keeps records up to date and workflows efficient. It also reduces or eliminates manual entry errors.
Automating these and other functions of this nature means that benefits administration platforms are allowing organizations to greatly reduce administrative workload, decrease error risk, and elevate the employee experience.
Benefits administration platforms are rapidly evolving.
As a result, there are more options than ever for businesses, with very customizable solutions available for very specific needs and safety, depending on the organization.
Ease and Zenefits are two of the most well-known leading platforms because they have it all with respect to features, interface, and integrations.
Ease is a platform that is perfect for small to mid-sized businesses that want a streamlined method of benefits enrollment plus brokerage integration. There are many great features within Ease.Their model is geared toward simplicity, with a particular focus on compliance, making the platform user-friendly yet very effective for employers who value administration relief.
Zenefits is a larger Human Capital Management suite that encompasses benefits administration plus payroll, compliance, and HR management tools. This more comprehensive, single-platform solution is attractive to companies interested in a centralized solution for HR software usage.
While Ease and Zenefits are good solutions with superior benefits administration features, there are many other platforms available that are also significant.
Some examples of companies with a strong emphasis on benefits administration are Gusto, BambooHR, and Rippling. Each of these companies can vary, not only in their approach to administration, pricing, and target audience, but ultimately serves large, small, or startup businesses.
Understanding the top benefits of administration platforms has laid the groundwork for examining them side by side.
The subsequent comparison examines features, usability, integrations, and pricing of Ease, Zenefits, and other leading platforms to help you determine which solution fits your company's requirements better.
Ease is well known for its ease of use and broker-friendly interface. It fits best for small and midsize businesses that are looking for a simple way to offer and manage employee benefits without lots of hassle.
Features:
Ease provides simplified benefits enrollment, automated compliance support, and solid reporting capabilities. It supports a variety of brokers and insurance carriers, allowing flexibility when managing plans.
Usability:
The platform is intuitive and clean, so both HR departments and employees can navigate it easily. The self-service portal allows employees to view and select their benefits.
Integration:
Ease easily integrates into popular payroll platforms to facilitate accurate deductions and data tracking. It also connects to brokers to offer easy plan administration.
Cost Structure:
Pricing is usually subscription-based and is dependent on company size and feature needs, and is generally viewed as affordable for smaller businesses.
Zenefits is an integrated HR platform that has benefits administration as one of its main components. This tool is great for businesses that want a fully integrated HR and benefits administration technology.
Features: Zenefits has a lot to offer beyond just benefits enrollment, including payroll, time tracking, compliance management, and new hire onboarding. The benefits administration module has a vast number of plans it supports, and also has a set of ACA compliance tools.
User Experience: Zenefits offers a fairly modern and intuitive interface and strong mobile capabilities. Employees have full self-service capabilities for benefits and HR information.
Integration: Zenefits offers a myriad of integrations with third-party apps and payroll providers. The unified platform reduces data silos and administrative overhead.
Pricing: Zenefits has tiered pricing plans, with benefits administration included at the mid-tier level and above. While it might be more expensive than Ease, the overall HR function is broader.
Gusto is, of course, synonymous with payroll, but they integrated benefits administration into their product so that it was attractive for startups and small businesses (and Gusto is strong there!). Gusto is a great product - easy to use, great support, and a lot of features!
It is an award-winning HRIS platform and includes benefits tracking and integrates with premium benefits administration tools.
They focus on delivering a user-friendly experience for employees, and they excel in data control and management.
Rippling is uniquely isolated in the fact that it is a hybrid HR, IT, and benefits administration option.
They have amazing automation and integrations for HR processing. Great for companies that are technologically savvy and want to manage their workforce on one platform.
Selecting the right benefits administration platform is an important step that will either benefit your HR work and employee experience or contribute to challenges you may have.
You should factor in several considerations to ensure the platform you choose meets your firm’s unique needs.
Different platforms meet business needs aligned to business size. Small businesses may be looking for simplicity and cost, whereas a larger organization would most likely be looking at more advanced features or incorporation needs. Look at where your benefits currently exist in complexity, and where you intend to grow.
Make sure the platform is user-friendly for everyone involved: the HR staff and employees. A user-friendly platform reduces training time for HR staff and works to build confidence in employees engaging with their benefits options. Self-service portals to enroll and make updates are always preferred, as opposed to jumping from one place to another to complete the task.
Your benefits platform must integrate with payroll systems, HRIS, and other software needed to administer benefits. This allows you to perform less manual work, alleviates data mistakes, and creates seamless benefits administration.
The rules around compliance for benefits can change continually. Choose a benefits platform that automates compliance tracking and reporting to avoid significant penalties and create necessary records.
Having reliable customer support is always essential, but becomes extremely important during open enrollment. If you choose a platform with excellent ongoing customer support, training resources, and fast responding customer support, the transition and ongoing management can be an easier process.
Be certain of the pricing structure you are comparing (i.e., subscription, tiered, custom/contract), and you may also want to consider how costs may change as your company increases.
Ideally, you will choose a solution that can grow with your company and will not sacrifice core offerings.
By examining the above, you can select a benefits administration platform that will simplify your HR operations and create a better experience for employees.
There is incredible evolution underway in benefits administration based on technology and employees’ expectations.
As companies try to enhance the process of managing employee benefits, they look for technology solutions with enhancements such as AI (artificial intelligence), drive access, and advanced data analytics.
These considerations are reshaping the approach organizations take to managing benefits and engaging employees, and these tech solutions are now essential in the workplace.
Benefits administration is already being improved considerably by AI.
Organizations are automating answers to typical employee questions through the use of AI-powered chatbots and virtual assistants, including pay and claims questions.
HR has less to manage with these costs, and employees benefit by getting timely and accurate answers right away. AI technologies are providing employees with personalized benefits recommendations and suggestions based on their employee data and preferences, which can positively affect the benefits enrollment decision-making process.
AI is helping with compliance as well by monitoring compliance changes and early detection of risks, which can reduce the likelihood of an expensive compliance breach. In addition, AI is automating standard administrative operations (such as claims processing), removing considerable work for HR professionals and freeing them for significant and strategic priorities.
Today's employees consider mobile accessibility an essential requirement. A mobile app or social media access is a need for many, as they look for ways to access their benefits seamlessly through their smartphones or tablets.
While our newest platforms have some form of mobile app and responsive portals, our employees have come to expect:
Access and review of plan details
Ability to submit claims
Everyone's ability to update their information
Allow employees to complete enrollment when and where they want to
Mobile tools increase engagement, support the remote workforce, and send reminders about deadlines or important changes.
They also help improve data accuracy by motivating employees to change information in real-time.
Data analytics are pushing the benefits management challenge away from a reactive process for benefits administrators and towards a more proactive, strategic approach.
Today's platforms have delivered meaningful data regarding:
Utilization trends with different benefits
Employee engagement in using their benefits
Cost drivers and opportunities to save costs
Predictive costing associated with claims
Many platforms have also begun to use these analytics to measure employee benefits' leverage and subsequent impact on retention and productivity.
That has allowed companies to align employee offerings with business goals.
Platforms won't stop evolving due to the changing workforce. Many will continue to shift towards a more flexible and employee-friendly workforce.
Some of the trends built into these platforms are now:
A framework for gig workers and non-traditional employment
Flexible benefits and permission for personalization of packages
Virtual enrollment and remote communications
Holistic wellness programs, not just wellness, but mental health and financial wellness resources, etc.
The move to change benefits represents a broader movement away from the purely transactional approach to benefits and benefits management.
Looking beyond the current period, several trends are about to shape the future of benefit administration platforms:
Increased sophistication of artificial intelligence (AI) and machine learning for predictive insights and fraud detection
Expanded mobile experiences, possibly with augmented reality (AR) as part of benefits education
Greater emphasis on data privacy and security
Deep integration and simplification with overall human capital management systems as part of an overall human resources workflow.
Organizations that embrace these capabilities will be better positioned to adapt to the changing workforce and establish a competitive advantage for talent management.
Choosing the right benefits administration platform for your organization is important for streamlining HR processes and enhancing the employee experience.
As we have seen, there are various vendors (e.g., Ease, Zenefits, etc.) that offer different strengths suited for different business sizes and needs.
These companies each offer different core features, integrate differently, and their pricing models also vary. Taking stock of the platform features relates to your company’s ability to comply with regulations, take action quickly, engage your employees, and save time.
Technology is rapidly changing, as it benefits administration technology (e.g., AI, mobile access, data, etc.). By also taking into consideration innovation, you can select a platform that will help position your organization better for future success.
As you look at your company’s needs and/or phases of growth and your investment time horizon, please keep in mind the value you need today, but also think about how the platform will adapt to the workforce needs tomorrow.
How do I select the appropriate benefits administration platform for my business?
What does AI provide to benefit administration?
How do benefits platforms assist with laws and regulations compliance?
Can benefits administration platforms communicate with payroll systems?
How is a benefits administration platform different from an HRMS?
