Corporate benefits · Employee Benefits Programs

How much should employee benefits cost as my startup expands?

Anonymous

November 30th, 2017

I know rule of thumb is that salary and benefits will amount to 1.2X the base salary. Does that hold true for C-level employees making six figure salaries? I can understand an employee making $50k base having his employer cover $10k in health and stuff, but it doesn't quite make sense that a C-level exec making $200k would receive $40k in benefits. It's not like the C-level's health benefits cost more, right? Does this 1.2X rule take into account bonuses, or something else? Or does it just not make sense after a certain salary threshold?

Mildred Akapelwa Business entrepreneur

November 30th, 2017

Yes