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Let Your Employees Know What They Cost
Employees cost significantly more than what they receive in salary. If you offer generous benefits, then they probably cost much more. Making your employees aware of this is a simple way to make them feel more valuable.
Consider an employee with an annual salary of $30,000 who receives full individual health insurance. After you add in health insurance (assume $300/month for 12 months), social security/FICA (6.2% of the first $97,500 in 2007), unemployment (6.2% of the first $7,000), medicare (1.45%) and worker's compensation (big range, but assume just 1%), the employee actually costs you approximately $36,629.
Most people don't think about what they cost their employers beyond their salary. When they find out, however, they tend to feel good about it. And since you are already spending the money, you might as well let your employees know about it. Of course, the greater the benefits you offer with respect to salaries, the more you have to gain from sharing this information. For this reason, many not-for-profits should consider sharing this information with their employees.
This information is mostly available (benefits may be the exception) from your payroll company and it can be shared via a simple spreadsheet. Therefore, making this information available is easy to do. I have recommended this to multiple companies in the past and those that have done it once have done it again every year thereafter.
