Excerpt from Employee Benefit News article, Why lifestyle savings accounts are an increasingly popular benefit
"This account allows you as the employee to choose what type of expenses best meet your needs, and employers have the flexibility to determine the benefit level," says Sara Taylor, senior director of employee spending accounts at WTW. "The flexibility and personalization of this benefit is what's so attractive."
Notably, when WTW asked employers why they offer or are thinking about offering LSAs, over two-thirds of respondents said to personalize their benefits, while 59% said to attract and retain talent. Taylor points out that employers are becoming increasingly overwhelmed by just how many different benefits are out there. In a generationally diverse workforce, it's especially hard to help everyone, she notes. Some employees need student loan assistance, others need caregiving funds and older workers are typically trying to throw more of their wages into retirement accounts. LSAs could help employers consolidate several employee needs into one benefit.