Benefit Plan Assignment Example | Topics and Well Written Essays - 750 words

Benefit Plan - Assignment Example They should have completed 1000 hours of service with the company which usually occurs around one year after joining the company to be eligible for the benefits. The basic benefit plan of Blue Rose includes Retirement plans and Life Insurance plans. Senior engineers and the management staff get paid vacations and sick leave. All employees are entitled to get basic benefits like workers compensation and Federal Family and Medical Leave. FICA taxes will be deducted from every employee’s salary. The normal retirement age is 65. The benefit is determined based on the annual compensation package. Normal retirement rate benefit will be equivalent to 10% of the actual compensation earned by the employee annually. Pension benefits can be gained from the date of completing service. This is applicable to voluntary retirement, employment termination and quitting due to disability. The company requires every employee who had completed a year with them to contribute 10% of their salary towards life insurance. The company gives coverage up to 10 times the actual amount stored in the employee’s insurance account in cases of medical emergencies, death or disability. They employees who had completed 5 years of working in Blue Rose are eligible to take a loan on their insurance savings. Senior engineers and management staff who have completed 8 years in Blue Rose and are permanent employees of the company can get paid leave up to 15 days a year for vacation or medical emergencies. They are also entitled to get travel allowance for in-country vacations and free accommodation in company guest houses in certain locations. The benefits given by Blue Rose are quite lenient considering the size and profit of the company. But, certain basic additions like medical and dental coverage and paid sick leave for all employees are required. The junior employees will benefit a lot from such plans. 1. A basic