11. Most employees overestimate the amount of money an employer spends on benefits.
12. Social security includes a pension benefit, disability benefit and if a worker dies before retirement, provides a death benefit to a worker’s spouse and dependent children.
13. The amount an employer pays for worker’s compensation insurance depends on the nature of the industry and the accident history of the employer.
14. Discretionary benefits are optional benefits an employer offers and these benefits are not regulated by the government, as are legally required benefits.
15. Money an employer places in a health savings account is not subject to taxes, but must be spent within the plan year.
16. Defined benefit plans are highly portable.
17. Defined contribution retirement plans are more common than defined benefit retirement plans.
18. A potential disadvantage of commission incentives is uneven levels of income over time.
19. One way to reduce the risk to employees of a commission incentive system is to offer a low base salary to provide a safety net to cover living expenses when sales are low.
20. Merit pay increases focus on past employee performance and reward past performance that exceeded performance expectations.