This article is for those people who often get confused between benefits and perks, whether they're fresh graduates looking for jobs or business owners who want to offer perks and benefits. It is more important for employers than ever to offer competitive compensation to both attract new talent and retain existing staff.
Therefore, benefits at work and extra perks have acquired a new significance. But what exactly are the benefits? And what is the difference between benefits and perks?
In this article, you'll find all the answers to your questions.

What's the difference between perks and benefits?

When most people think of perks, they think of extra benefits given to the public like movie tickets or free desserts. A perk is a benefit that helps the employee perform their duties more efficiently, and an employee benefit is anything that an employer provides to the staff to improve the quality of their lives.

In simple terms, perks include meals, vacations, discounts, or additional pay. The benefits include pension plans, health insurance, employee assistance programs, life insurance, and tuition assistance.

What is the perk?

Companies are inventing new ways to recognize their employees. It's called perks because of the benefits that companies offer their employees.

In short, a perk is something that allows someone to perform more effectively in their position. Perks ensure that candidates will consider your company in a new light. A more traditional perk may include a company car (which the employee also uses). As for the new perks, they may include gym memberships or personalizing bucket list experiences for employees.

What is the Benefit?

As non-wage compensation, benefits provide coverage for more basic needs than perks and can give a richer picture of company culture than perks.
Benefits are far more reliable than perks. Example of benefits:

• Healthcare (Medical, Dental, Vision)
• Retirement savings
• Paid time off
• Maternity/Paternity leave
• Life insurance

All benefits are critical to any employment offer. Two companies that offer identical salaries may vary greatly in the benefits category, making one a better financial offer than the other.

To improve sourcing and retention in your organization, it is better to take advantage of M500 REMUNERATION that provides you with up-to-date reports that can be used to compare the entire compensation package in Nordic Regions. Apart from the Nordics, you can also get exclusive reports about any other country.

The M500 REMUNERATION will help you determine employee benefits and to what degree you can afford them.
Now you can keep your valued employees happy by providing them with employee perks and benefits.