9 best benefits administration software in 2024
Explore the top 9 benefits administration software options in our comprehensive guide. Find out which solutions lead the market in efficiency, customization, and user experience, giving you the perfect software to streamline your benefits management and enhance employee satisfaction.
In this piece
As we enter 2024, the demand for robust benefits administration software has increased.
Employees want benefits that cater to their needs, and they want to access them quickly and efficiently. Employers want tools that can help them provide customized benefits at scale, and they want to be as cost-efficient as possible.
With the best employee benefits software, both of these goals are achievable. But what works for one organization might not work for another, so there are a variety of benefits platforms that cater to different scenarios.
To help you find benefits administration software suited to the needs of your organization, we’ve compared the 9 best benefits systems currently on the market.
Let’s explore what they have to offer.
What is benefits administration software?
Benefits administration software is a specialized type of software designed to streamline and automate the process of managing employee benefits within an organization.
Employee benefits typically include health insurance, retirement plans, paid time off, and other perks. The software is designed to assist HR professionals in efficiently handling the complexities of benefits administration.
Who needs a benefits administration system?
A benefits administration system is beneficial for organizations of various sizes and industries, as it helps streamline and manage employee benefits effectively. Here are some key entities within an organization that can benefit from using a benefits administration system:
- HR departments – HR professionals are primary users of benefits administration systems. The software helps them manage the entire benefits lifecycle, from enrollment to ongoing administration and reporting.
- Employers and business owners – Employers and business owners benefit from a centralized system that automates and organizes benefits–related tasks, reducing the administrative burden and minimizing the risk of errors.
- Employees – Employees gain access to self-service portals where they can view and manage their benefits, enroll in plans, make changes, and access important information about their coverage and options.
- Benefits administrators – Professionals specifically dedicated to managing employee benefits within an organization benefit from the automation and efficiency provided by these systems. They can focus on strategic aspects of benefits rather than being bogged down by administrative tasks.
- Finance departments – Finance teams can benefit from benefits administration systems that provide accurate data on benefit costs, helping in budgeting, forecasting, and financial planning.
- Compliance officers – Professionals responsible for ensuring that the organization complies with relevant laws and regulations related to employee benefits and find benefits administration systems valuable for tracking and managing compliance requirements.
- Insurance brokers and consultants – Third-party brokers or consultants engaged by organizations to help with benefits selection and management can use these systems to provide more efficient and accurate services to their clients.
- IT departments – IT teams play a role in implementing, integrating, and maintaining benefits administration software within the organization's overall technology infrastructure.
Why is choosing the right benefits administration platform so important?
Choosing the right benefits administration platform is crucial for several reasons
1. Efficiency and time savings
A well-designed benefits administration platform automates many processes, reducing the manual workload for HR professionals. This leads to increased efficiency and time savings, allowing HR teams to focus on more strategic tasks.
2. Accuracy and error reduction
Automation reduces the likelihood of errors associated with manual data entry and processing. Accurate data is crucial for managing employee benefits effectively and ensuring compliance with regulations.
3. Improved employee experience
A user-friendly and accessible benefits administration platform enhances the overall employee experience. Employees can easily access information, make selections, and manage their benefits, leading to increased satisfaction and engagement.
4. Compliance management
The right platform helps organizations stay compliant with changing regulations and laws related to employee benefits. This is essential to avoid legal issues and penalties that may arise from non-compliance.
5. Customization and flexibility
Different organizations have unique benefit structures and requirements. A good benefits administration platform allows for customization to meet the specific needs of the organization, ensuring that the platform aligns with its unique policies and offerings.
6. Integration capabilities
Integration with other HR systems, payroll software, and insurance providers is essential for seamless data exchange. A benefits administration platform that can integrate with existing systems reduces data silos and enhances overall organizational efficiency.
7. Cost management
Efficient benefits administration can contribute to cost management by providing insights into benefit utilization, costs, and trends. This information is valuable for making informed decisions and optimizing benefit plans to align with organizational goals and budget constraints.
8. Security and data privacy
Employee benefits involve sensitive personal and financial information. Choosing a platform with robust security features ensures the protection of this data, reducing the risk of data breaches and maintaining the trust of employees.
As organizations grow or undergo changes, their benefits administration needs may evolve. A scalable platform can adapt to these changes, accommodating an increasing number of employees or changes in benefit offerings without causing disruptions.
10. Support and training
Selecting a platform from a reputable provider that offers adequate support and training is important. This ensures that HR professionals and other users can effectively navigate and utilize the platform's features.
11. Reporting and analytics
A good benefits administration platform provides robust reporting and analytics tools. This allows HR professionals to gain insights into benefit utilization, costs, and employee preferences, facilitating data-driven decision-making.
Best benefits administration software
- TriNet Zenefits
- Breathe HR
Forma excels at helping companies provide flexible benefits at scale. With Forma, organizations can aggregate and unify employee benefits into a single end-point for convenient access.
Employees prefer to use Forma over other benefits solutions because they can easily redeem their benefits allowance on products or services they actually want. Benefits managers, HR teams, and compliance officers will also appreciate the power to create custom benefits plans through Forma’s streamlined web dashboard, saving them countless hours.
As far as deployment is concerned, Forma was designed for easy integration with the tech stack of your choice. The guided onboarding process and a dedicated customer support team will ensure that Forma is up and running in weeks, if not days.
When signing up with Forma, companies gain access to the following features.
- A huge array of customizable spending accounts, including Lifestyle Spending Accounts (LSAs), Flexible Spending Accounts (FSAs), Health Savings Accounts (HSAs), Healthcare Reimbursement Arrangements (HRAs), and more.
- Convenient way to claim benefits with a seamless reimbursement process. Employees can access discounted offerings from global brands in the Forma Store, as well as use the Forma Card to spend their benefit allowances at the point of purchase.
- A streamlined UI powered by a fault-proof backend guarantees constant up-time and seamless checkout for employee perks and benefits. As your organization grows, Forma's scalable architecture will keep pace.
- World-class customer service thanks to Forma’s team of customer support experts. Customers and employees can access support 24/7 via email and live chat, available globally.
- Extensive real-time analytics tools, accessible through Forma's admin dashboard. Monitor budget utilization rates and obtain rich insights about the effectiveness of your benefits plan.
Watch Forma’s benefits administration software in action below:
Forma offers substantial benefits to organizations in a wide variety of industries, including IT, healthcare and insurance, retail, manufacturing, financial services, and media.
With Forma, organizations only pay for funds that actually get used. This is in contrast to how other benefits providers operate, which is paying a fixed sum per employee, even if they don’t end up claiming their benefits. Forma’s approach makes it easy to cut costs while maintaining a high level of service.
Less administrative oversight required
Forma helps organizations consolidate different benefits programs, stipends, and perks into custom spending accounts. Instead of juggling multiple vendors and plans, benefits managers can offload everything related to implementation, program design, claims administration, member support, and vendor management to Forma.
Improved budget utilization rate
Forma was developed to be a single source of benefits, so admins and employees no longer need multiple access points to claim their perks. This removes usage barriers and improves budget utilization.
Forma operates in 100+ countries globally, allowing organizations to deliver custom benefits to each employee independent of where they’re situated. This ensures that international employees can access the same range of benefits that office-based employees already have.
Forma is SOC 2 certified, GDPR compliant, and adheres to WCAG standards expected of global enterprises. Businesses can use Forma in even the most stringent regulatory environments without incurring penalties.
Find out more about how Forma’s software can benefit your organization and<span class="text-style-link text-color-blue" fs-mirrorclick-element="trigger" role="button">schedule a consultation</span> with one of our experts.
BerniePortal is an all-in-one HR platform designed for small to medium-sized businesses. In addition to benefits administration, it encompasses applicant tracking, time and attendance, and various other HR functions. BerniePortal prioritizes user-friendly solutions to enhance overall HR management efficiency, making it a comprehensive choice for businesses looking to consolidate their HR processes.
- Comprehensive benefits administration: BerniePortal offers a detailed benefits administration system, allowing organizations to efficiently manage and oversee employee benefit programs.
- Integrated HR functionality: BerniePortal provides integrated HR features, including applicant tracking and time and attendance functionalities, creating a consolidated platform for diverse HR needs.
- User-friendly UI: BerniePortal prioritizes UX thanks to its user-friendly interface, simplifying the complexities of HR processes and making it accessible for small to medium-sized businesses seeking an intuitive solution.
Gusto is renowned for its comprehensive HR and payroll services, primarily serving small businesses. The platform includes features like benefits administration, compliance assistance, and other HR tools. Gusto focuses on simplicity and accuracy in HR management, providing an integrated solution for business owners seeking efficiency in payroll and benefits administration.
- Payroll processing – Gusto streamlines payroll processes, automating calculations, deductions, and tax filings. It supports various pay schedules and payment methods, ensuring accurate and timely payroll management.
- Benefits administration – Gusto offers comprehensive benefits administration tools, allowing businesses to manage health insurance, retirement plans, and other employee benefits.
- Employee self-service – Gusto provides employees with a user-friendly self-service portal. Through this portal, employees can access and manage their pay stubs, tax forms, benefits information, and other HR-related tasks.
Namely offers an integrated platform for mid-sized businesses, combining benefits administration, payroll, time tracking, and various other HR features. Known for its flexibility, Namely adapts to the unique needs of businesses, providing a scalable solution for organizations aiming to streamline their HR processes.
- Integrated HR functionality – Namely offers an integrated platform for mid-sized businesses, combining benefits administration, payroll, time tracking, and various other HR features.
- Flexibility and customization – Namely adapts to the unique needs of businesses, providing a scalable solution for organizations aiming to streamline their HR processes.
- User-friendly interface – Namely prioritizes user experience with an intuitive interface, simplifying the complexities of HR processes.
Bambee is an HR solution tailored for small and medium-sized businesses, offering benefits compliance, payroll services, and employee relations support. With a user-friendly interface, Bambee aims to simplify HR processes, making it accessible for businesses seeking efficient and streamlined solutions.
- HR compliance management – The platform assists in creating compliant HR policies, managing documentation, and ensuring adherence to legal requirements, reducing the risk of non-compliance-related issues.
- Employee relations support – Bambee provides guidance on handling employee issues, disputes, and terminations, promoting fair and respectful treatment within the workplace.
- Benefits administration – Bambee assists businesses in efficiently managing employee benefits, including health insurance and retirement plans, ensuring accurate administration and compliance with benefit-related regulations.
Justworks provides an integrated platform offering benefits administration, payroll, compliance support, and other HR services. Geared towards small and mid-sized businesses, Justworks aims to simplify complex HR processes and enable organizations to focus on their core operations while ensuring regulatory compliance.
- Painless payroll processing – Justworks offers seamless payroll processing, automating calculations, tax filings, and payment disbursements, simplifying the payroll management process for businesses.
- Customizable employee dashboards – Justworks provides customizable dashboards for employees, offering a personalized and user-friendly interface where they can access payroll information, benefits details, and other HR-related data.
- Time tracking integration – Justworks integrates with time tracking systems, allowing businesses to efficiently manage and track employee work hours, enhancing accuracy in payroll and overall workforce management.
7. TriNet Zenefits
TriNet Zenefits offers a full-service HR solution that includes benefits administration, payroll, risk management, and compliance support. Catering to businesses of various sizes, TriNet Zenefits provides a comprehensive platform to handle HR functions, allowing organizations to concentrate on their strategic objectives while ensuring compliance and employee satisfaction.
- Full-service HR solution – TriNet Zenefits provides a comprehensive HR solution covering benefits administration, payroll processing, risk management, and compliance support for businesses of various sizes.
- Robust risk management – TriNet Zenefits offers robust risk management services, helping businesses mitigate risks related to HR compliance, employee relations, and other workforce-related challenges.
- Scalable HR platform – Designed to accommodate businesses as they grow, TriNet Zenefits offers a scalable HR platform that adapts to changing workforce needs and ensures flexibility in managing HR functions.
BambooHR, primarily recognized as an HR software, also includes features for benefits tracking and administration. Well-suited for small to medium-sized businesses, BambooHR offers an intuitive interface and customizable features, making it a popular choice for organizations looking to manage their HR processes efficiently.
- Employee database management – BambooHR provides a centralized employee database, allowing businesses to efficiently manage and organize employee information, records, and documentation.
- Performance management tools – BambooHR offers performance management features, including goal tracking, performance reviews, and feedback mechanisms, promoting employee development and engagement.
- Customizable HR workflows – BambooHR allows businesses to create and customize HR workflows, streamlining processes such as onboarding, time-off requests, and employee data updates according to their unique needs.
9. Breathe HR
Breathe is an HR software with features for benefits administration, employee records management, and time-off tracking. Designed for small businesses, Breathe emphasizes simplicity and ease of use, providing essential HR tools to help organizations streamline their processes and focus on employee management.
- Employee records management – Breathe provides a user-friendly platform for efficient management of employee records, making it easy for businesses to organize and access essential employee information.
- Time-off tracking – Breathe includes features for time-off tracking, allowing businesses to streamline and automate the process of managing employee leave requests and balances.
- HR communication and reporting – Breathe facilitates HR communication by providing tools for sending announcements and updates to employees. Additionally, the platform offers reporting features to generate insights into HR metrics and trends.
How to choose the best benefits administration software for you
When choosing benefits administration software, consider the features that align with your organization's specific needs. Keep these six criteria in mind before making a decision.
Features and customization
When choosing benefits administration software, consider the features that align with your organization's specific needs. Look for platforms that offer a range of functionalities, including benefits enrollment, compliance management, employee self-service, and reporting. Additionally, prioritize systems that allow customization to adapt to your unique benefits structure and policies.
Select a benefits administration platform that seamlessly integrates with your existing HR systems, payroll software, and other relevant tools. Integration ensures data consistency and reduces the need for manual data entry, enhancing overall efficiency and accuracy in benefits management.
Prioritize a user-friendly interface to ensure that both HR professionals and employees can navigate the system easily. An intuitive design reduces the learning curve, encourages employee engagement, and minimizes the likelihood of errors during benefits enrollment and management processes.
Pricing and ROI
Evaluate the pricing structure of benefits administration software with a focus on achieving a positive return on investment (ROI). Consider factors such as subscription fees, implementation costs, and any additional charges, ensuring the chosen solution provides value for the investment. A strategic approach to pricing is to consider both short-term affordability and long-term value, as this will help you find a cost-effective benefits administration solution.
Forma benefits packages can be customized to offer perks that your employees genuinely care about.
The upside of this is that you’ll only ever pay for benefits that are actually used, keeping your benefits program lean and cost-efficient, <span class="text-style-link text-color-blue" fs-mirrorclick-element="trigger" role="button">schedule a consultation</span> with one of our experts to learn more.
Security and compliance
Security is paramount when handling sensitive employee data. Ensure that the benefits administration platform adheres to industry-standard security protocols and compliance regulations. Look for features such as data encryption, access controls, and audit trails to safeguard employee information and maintain regulatory compliance.
Vendor support and reputation
Assess the level of support provided by the software vendor. Look for platforms backed by responsive customer support and comprehensive training resources. Additionally, consider the vendor's reputation within the industry. Read reviews, seek recommendations, and verify the vendor's track record to ensure reliability and a positive experience throughout the software implementation and usage journey.
How do they compare?
Let’s see how the benefits platforms we’ve explored stack against each other.
Getting started with Forma
In this article, we've explored the landscape of benefits administration and introduced nine software solutions, each tailored to address the unique challenges faced by HR professionals. From compliance management to streamlined onboarding and user-friendly interfaces, these platforms offer a spectrum of features to revolutionize your benefits management approach.
If flexibility, cost-effectiveness, and user experience are your priorities, we recommend you try Forma. Head over to the Forma pre-tax accounts for more details.
This document is for informational purposes. Forma is not engaged in the practice of law. Nothing contained herein is intended as tax or legal advice nor is it intended to replace tax or legal advice from counsel. If you need tax or legal advice, please consult with counsel or a certified tax professional.