If you’re familiar with League, you’re likely in the know about HSAs, or Health Spending Accounts. Affordable and flexible health coverage for your employees? You probably didn’t think it could get any better than this. Well, then! Let us introduce you to a little something called a Lifestyle Spending Account. LSAs are the HSA’s cooler, hipper fraternal twin. (Yes, they’re both spending accounts, but they certainly aren’t identical.)
While an HSA is a customizable version of the rigid benefits packages employees are used to, an LSA sweetens the deal considerably—for both employers and employees.
So what’s a Lifestyle Spending Account anyway?
An LSA is the perfect complement to the more traditional Health Spending Account. Similar to an HSA, employers allot a certain amount of money towards expenses that are health related. But unlike an HSA, these services (or products) are less about treatment and more about prevention, hence the name “lifestyle.”
With an LSA, employees can even focus on their personal development. Many will love having the option to enroll in relevant courses, hire a life coach or participate in alternative forms of therapy if they so desire.
When you marry an LSA with an HSA, you give your employees the opportunity to better their physical and mental health today.
The hope is that eventually, they can stop worrying about tomorrow.
How does it work?
If you’ve recently launched a startup or are already the owner of a small- to medium-sized business, you need to choose a plan that you can afford. The great thing about these types of spending accounts is that they give you control over the plan and your finances.
You choose the yearly sum (let’s say, $1,500), and your employees choose what they want to put it towards (a gym membership and a new pair of running shoes, perhaps?). Then, you only pay for the amount they use. We repeat: You only pay for what they’ve used.
This one small detail makes a huge difference at the end-of-year review. Not only does it help business owners eliminate those unpleasant year-end surprises, many end up owing less than anticipated.
What’s not to love?
Big savings for your small business. Employees that are happy, healthy and more productive. Benefits they’ll actually use. A more attractive offer when seeking out new talent. More reasons for current employees to stick around. And a plan that won’t break the bank.
These are just a few of the reasons why a Lifestyle Spending Account is the way to go when considering a workplace benefits plan for your team.
When you choose to provide your employees with an LSA, you are letting them know that you care about both their physical health and their mental well-being. This, in turn, helps motivate them to prioritize their health, reduces absenteeism, and helps you retain your most valued assets: your staff.
Ready to make the move? An LSA is a great way to introduce benefits to your team, especially if you pair it with an HSA.