Top Benefits Administration Systems - 2023

Use a top benefit administration system to let you eliminate busy work, stay compliant, and create a better open enrollment experience for employees

Phil Strazzulla
HR Tech Expert, Harvard MBA, Software Enthusiast

Contributing Experts

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The Top Benefits Administration Software

Hand picked by our HR Technology experts after product testing, user research, and much debate - enjoy!

Deel is making waves in the payroll space, being one of the first companies to specialize in international payroll & benefits for remote teams.
Remote is a robust and modern platform specialized in HR, payroll, and benefits for, as their name suggests, remote-first teams.
OnPay ensures compliance and takes no upfront payment for its benefits administration software. When you decide to use it, you'll be connected with their team of licensed brokers so that your employees can get their favorite benefits from the best companies.
Designed to make benefits more accessible and less complicated, Bennie is available both as a web and a mobile app. With it, employees can track claims spending, estimate cost of care, find a doctor, access a live concierge team, and more.
Easy to navigate, Namely is extremely organized and uses the best-in-class technology. Its benefits administration software is integrated with its HR and payroll system to save time and complexity.
A one-stop technology solution that merges your HR ecosystem with benefits administration system, Maxwell Health helps employees save time and make sound decisions about their benefits.
This feature lives in the midst of all employee information, and this proximity enables objective discernment and enforcement of who can spend what, where, and when. The tool enables the policy, and the policy enables the tool.
Whether you're just getting started or looking for ways to improve your benefits, Zenefits can help you simplify your process. One of its best features is that employees get detailed reports on their benefits to see what's working.
Gusto recently an ATS to its features. It can handle job posting, syndication to job boards, interview notes, and basic scheduling – all within the Gusto platform. It is currently optimized for employers with “moderate” hiring needs, but they can help you determine whether their new native ATS or another within their ecosystem is right for you. The tool is promising and it operates well within the environment it, and, like the platform itself, has the uncanny feel of a product that is sound in its inception and sturdy in its architecture.

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Introduction to Benefits Administration Systems

As a benefits leader, you have the rewarding job of making your company a great place to work. After all, employee benefits packages and other perks can help you attract top talent, retain current employees, and build a culture that aligns with your values. 

The downside, of course, is all the administrative work that benefit plans and benefits enrollment creates for you. Fortunately, benefits administration software can help you automate your benefits management, improve efficiency, and streamline open enrollment — all while staying compliant.

Benefits administration software serves as a one-stop-shop for all your employee benefits. With everything centralized, the setup and management is easier for you and open enrollment is easier for your employees. 

The result? Employees make smarter, more informed decisions about their benefits, and you have less administrative work to manage. To help you find the right benefits management software, we put together the following guide with top software platforms, features to look out for, common mistakes to consider, pricing, and more.

Our criteria: How we chose the best vendors

We take research seriously. To make sure we’re offering our readers the very best solutions in a given software category, we are methodical, rigorous, and expansive in our research. We consult with HR professionals, vendors, and industry experts. We cut through the noise to bring you a carefully curated list of vendors, along with other essential information, to help you find the right software platform for your business. 

Here’s how we chose who makes the cut: 

Product: We believe in gaining a comprehensive understanding of a product before we recommend it, so we start by getting to know the software. Whenever possible, we meet with a senior executive (CEO or Head of Product) for a demo and Q&A. We also test the product ourselves to make sure it has a solid UI, intuitive workflows, and the features to make it a best-in-class offering. 

User feedback: We go straight to the source and compile feedback on user experience. Real-world input supports our commitment to diligence in our software evaluation methods and the products we recommend. Keeping up with the everyday experience of HR pros also puts new vendors on our radar, and it keeps us close to our community so we can better connect the right products to the right people.

Financial metrics: We are certified finance nerds, so we use all the data we can get our hands on to make selections for our guides. We comb through data for concrete statistics like retention rates, growth, profitability, and scalability. We evaluate the bottom line of each product because we know making a software purchase can put your reputation on the line. 

Best for a use case: Software is never a one-size-fits-all product. Sometimes the best solution is free or cheap. Other times it’s the one that is best for global companies or the one that’s sized right for early-stage startups. Keeping this in mind, we include solutions across the spectrum so our readers can find the best fit for their unique needs.

Here's more detail if you want to read more about how we research vendors. Our dedicated staff writers rely on hard data, impartial experts, and user feedback to ensure our reviews are helpful, truthful, and hopefully a pleasure to read!

Top Benefits Administration Software Programs

After surveying the landscape, we came up with this short list of top benefits administration software you should check out.

Deel

Review:

With Deel, companies can hire employees in a multitude of countries without it getting messy. From the same dashboard, you can manage international payroll, benefits, taxes, and compliance in 150 countries.

Deel

Pricing:

A cool thing about Deel is that you can sign up for free and play around with the tool, not being charged until you pay your first team member. Once you do, pricing for Deel will vary as follows: 

  • Contractors: At $49 per contractor per month, Deel takes care of payroll and compliance for contracts in 150 countries. 
  • Full-time: From $500, this plan lets you hire full-time employees in a new country without having to set up a legal entity there. Deel becomes an Employer of Record and hires the employee for you.

A cool thing about Deel is that you can sign up for free and play around with the tool, not being charged until you pay your first team member. Once you do, pricing for Deel will vary as follows: 

  • Contractors: At $49 per contractor per month, Deel takes care of payroll and compliance for contracts in 150 countries. 
  • Full-time: From $500, this plan lets you hire full-time employees in a new country without having to set up a legal entity there. Deel becomes an Employer of Record and hires the employee for you.

Best For

Companies, big or small, who wish to stay compliant when hiring people in multiple countries.

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Remote

Review:

Remote lets you offer customized benefits packages to fit each country where you have people. They let you stay compliant by providing world-class benefits and perks that are in adherence with local laws and up-to-par with standards. These range from part time off to holidays, health care, and life insurance.

How do they do this? Remote fully owns local legal entities in all the countries they cover. Since they have no intermediaries to deal with, they’re able to offer more flexibility and speed at very interesting costs.

Remote

Pricing:

Remote has four plans. “Contractors” lets you manage and pay global contract workers for free; you only pay for payment processing fees. Then, they have their “Global Employment” plan, which starts at $299 per employee per month. For the other two plans, “Payroll & Benefits” and “Global Employment Plus”, they offer customized pricing.

Remote has four plans. "Contractors" lets you manage and pay global contract workers for free; you only pay for payment processing fees. Then, they have their "Global Employment" plan, which starts at $299 per employee per month. For the other two plans, "Payroll & Benefits" and "Global Employment Plus", they offer customized pricing.

Best For

Remote-first companies that have both employees and contractors overseas but don't want to set up a legal entity in each country.

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OnPay

Review:

OnPay is a cloud-based payroll software that also offers features for HR management and benefits administration. It integrates with several low-cost benefits administration solutions so you’re able to offer health insurance, 401(k) retirement as well as workers’ comp. Not only that, but OnPay is also quick to set up, user-friendly and affordable, featuring a single, transparent monthly fee for everything.

OnPay

Pricing:

OnPay charges a base fee of $36, plus $4 per employee per month. You can use the price calculator on their website to see exactly how much it’ll run you for your team size. You can also sign up for a one-month free trial there.

OnPay charges a base fee of $36, plus $4 per employee per month. They also offer a one month free trial.

Best For

OnPay is great for small businesses looking for a payroll solution with basic HR features.

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Bennie

Review:

Bennie is a hub for your employee benefits information on a mobile-first platform. If employees have any questions about their benefits, they simply go to the app and interact with Ask Bennie, a smart healthcare concierge.

For employers, Bennie skips the typical brokerage experience. Instead, Bennie partners with major regional and national carriers to bring your company more personalized benefits. HR teams have their own backend to manage everything in one place. Customers also get access to strategic benefits and HR technology consulting.

Bennie

Pricing:

The Bennie app is free to use for your company and employees. Bennie shops around for the best plan for your company, and takes a commission from the insurance company you decide on.

The Bennie app is free to use for your company and employees. Bennie shops around for the best plan for your company, and takes a commission from the insurance company you decide on.

Best For

Companies in the 50-500 employee range.

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Namely

Review:

Namely’s HR software includes payroll and benefits functionality that also integrates into the rest of their HRIS.  If you’re looking for a full HR software suite, check out Namely’s solution.

Namely

Pricing:

Namely does not provide pricing on their website. However, having no benchmark provides the unique opportunity to negotiate with sales to determine the right price for your company specifically.

Custom pricing is available upon request of a demo. It will vary depending on which package you choose. They start with a basic HR package and then sell extensions or enhanced services for things like payroll solutions and employee benefits.

Best For

Namely targets mid-sized companies. They specifically mention companies with 50 employees up to a thousand, which is a large range. Most of their customer testimonials are from companies with 100 - 500 employees.

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Maxwell Health

Review:

Maxwell Health, now owned by Sun Life Insurance, offers companies a modern approach to managing benefits for employees. From open enrollment to COBRA, they can help you stay compliant, and give employees a wide range of options all available through an easy to use mobile interface.

Maxwell Health

Pricing:

Maxwell does not release their pricing online. You will have to contact a sales representative.

Maxwell does not release their pricing online. You will have to contact a sales representative.

Best For

If your company isn’t picky about what insurance company to work with, Maxwell Health’s partnership with Sun Life Insurance is ideal. You get a simplified end-to-end experience, requiring even less administrative work on your part.

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Rippling

Review:

Rippling is in a class by itself when compared to other expense tracking software. The integration of the feature into Rippling’s platform means it not only performs what you’d expect (standard features like the ability to parse a paper receipt image captured with a phone), it can also contextualize spending activity within the larger framework of employee data.

Rippling

Pricing:

Rippling's Core HR platform starts at $8 per employee per month. Contact Rippling regarding a custom Spend Management quote.

Rippling's Core HR platform starts at $8 per employee per month. Contact Rippling regarding a custom Spend Management quote.

Best For

This software is best for companies of medium to large size, globally or nationally distributed with multiple levels of organization.

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Zenefits

Review:

Zenefits offers benefits administration alongside their flagship HRIS product. The tool allows for employees to manage their benefits themselves on any platform they want, mobile or desktop. 

For employers, you get detailed insights on your employees on top of saved time. In fact, Zenefits says that their customers save up to a full week of work by using their online enrollment tool alone.

Zenefits

Pricing:

Zenefits has two methods of subscription, per employee per month or per employee per year. The three tiers are:

  • Basic: $8/month billed annually or $10/month billed monthly (per employee)
  • Growth: $14/month billed annually or $18/month billed monthly (per employee)
  • Zen: $21/month billed annually or $27/month billed monthly (per employee)

Zenefits starts with the following plans: 

  • Essentials: This plan costs $8 per employee per month and packs all of Zenefits’ core HR features, employee time and scheduling tools, 3rd party integrations, as well as access to Zenefits’ mobile app.
  • Growth: This plan costs $14 per employee per month and includes all of the features under the Essentials plan, plus compensation and performance management tools.
  • Zen: This plan costs $21 per employee per month and includes all of the features under the Growth plan, plus tools and services for employee well-being tracking, employee engagement surveys, as well as access to Zenefits’ People Hub, where employees and admins can communicate and collaborate directly in their HR system of record.

 In addition to the above, Zenefits offers the following add‑ons that can go on top of any of its base plans:

  • Payroll: $6 per employee per month.
  • Advisory services: $8 per employee per month.
  • Benefits administration (with your own broker): $5 per employee per month.

The Essentials plan features ACA compliance. If you have 50 employees, the ACA minimum, it will cost $400 per month at its least expensive. However, if you use your own insurance broker, it's an extra $5 per employee per month. They offer a free two week trial before you have to buy. 

Lastly, for larger businesses looking into Zenefits, Enterprise pricing is available upon request.

Best For

Zenefits focuses on small to medium sized businesses. Enterprise corporations might want to find a solution that is more geared towards their size.

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Gusto

Review:

Gusto has done a great job avoiding a common software pitfall. Many good tech teams have fallen under the spell of the Shiny New Thing, and, in allowing themselves to be distracted and diluted, their core products and loyal customs suffer from neglect. Gusto has kept a steady pace through the years and their primary focus on payroll and benefits has not been clouded by impulsive building more features into their stack. Instead, they work with numerous integrated partners who take the wheel on new initiatives, letting Gusto stay in its lane.

Gusto

Pricing:

  • Simple: $40/month +$6/month/person
  • Plus: $60/month +$9/month/person (limited time sale)
  • Premium: call sales for customized plan options 
  • Contractor only (no W-2 employees): $6/month/person
  • Simple: $40/month +$6/month/person
  • Plus: $60/month +$9 / month/person (limited-time sale)
  • Premium: call sales for customized plan options
  • Contractor only (no W-2 employees): $6/month/person

Best For

Even budget-strapped startups can afford Gusto’s basic plan, and for companies who have some bank capital to invest in human capital, the top-tier Premium plan is a great choice, especially if they have an HR department of one person.

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Why Use Benefits Administration Software

As an employer, you are required to offer certain benefits (like health insurance and Social Security), while others are “nice-to-haves” that can help with recruiting and retention. 

The more benefits you offer, the more administrative work you have to manage — unless, of course, you use benefits administration software. If you offer any or all of the following benefits, a benefits admin platform can streamline how you manage them — and how employees sign up for them:

  • Social Security: A federal benefits program that provides insurance for older workers and their spouses, those whose spouse or qualifying ex-spouse have died, and the disabled.
  • Worker’s Comp: Benefits given to employees who suffer work-related injuries or illnesses. It helps cover medical care, wages from lost wok time, and more.
  • Health Insurance: A type of insurance that covers medical and surgical expenses. This is arguably your biggest benefits expense.
  • Unemployment Insurance: A state-provided insurance that workers are eligible for if they lose their job and meet other requirements.
  • Family Medical Leave: The Family and Medical Leave Act (also known as FMLA) provides up to 12 weeks of job-protected leave per year to care for a seriously injured or ill immediate family member (i.e. spouse, child, or parent). While the leave is unpaid, FMLA requires that health benefits remain intact.
  • Vacation Time & Other Paid Leave: This can include a certain number of PTO days, sick days, and parental leave for your full-time employees.
  • Affordable Care Act (ACA) Coverage: The landmark health reform, also known as Obamacare. Under the ACA, employers with 50 or more full-time employees are required to offer affordable, essential coverage to their full-time employees or choose to pay a tax penalty.
  • Dental Insurance: A type of insurance that covers certain dental procedures and expenses.
  • Vision Insurance: A type of insurance that covers certain vision procedures and expenses.
  • Pet Insurance: A type of insurance that covers certain veterinary costs when your pet gets sick or injured.
  • Wellness Programs: While these differ per company, wellness programs are designed to promote long-term health for employees. Some programs include discounts on gym memberships, providing on-site fitness classes, offering preventative health screenings, hosting stress management workshops, stocking kitchens with healthy snacks, etc.
  • Financial Wellness: Financial wellness programs are designed to help employees take control of their finances so they can spend smarter, reduce debt, and save more money. Such programs include retirement/401k plans, student debt repayment, and more. 
  • Education Benefits: Also known as tuition benefits, education programs are designed to give employees opportunities to further their education. For example, some companies offer employees a reimbursement benefit up to a certain amount that covers classes, courses, certifications, etc. 
  • Life Insurance: A type of insurance that provides a lump-sum payment to the insured’s beneficiaries upon the insured’s passing.
  • HSA & FSA: Pre-tax dollars that can be used for health-related and other approved expenses.

If you're not sure what benefits to offer at your company (besides, of course, the bare minimum requirements), consider who your full-time employees are. 

In other words, what is important to them? For example, if the bulk of your employees are fresh out of college, a financial wellness benefit that helps them pay off their student debt will be a very attractive offering. You could also survey your employees if you're on the fence about a certain benefit to see if it’s something they actually want and would use.

Pro Tips on Top Benefits Administration Software

Considerations for Employee Benefits Admin — Plus, Common Mistakes to Avoid

The features we just listed are pretty comprehensive, but benefits admin software won't take everything benefits-related off of your plate. Not only that, benefits management in general has its share of challenges. To make sure you do benefits "right," have successful open enrollment periods, and don't blow your benefits budget, here are six considerations and common mistakes to look out for:

  • Choosing benefits that fit your company's need vs everything: As you probably already know, there are seemingly endless benefits you could offer to your employees. While it might be tempting to offer everything under the sun (which can be a great recruiting tool), you might end up creating more work and spending more money than it’s worth. In other words, you could wind up offering (and paying for) benefits that your employees don’t actually use. So think about what makes sense for your company and your employees — and start there.
  • Not allowing employees to pick and choose benefits: By nature, people like having choices and making informed decisions for themselves. So give them different options so they can pick and choose the benefits that are right for them.
  • Compliance with mandated benefits: Under laws like the Affordable Care Act, certain benefits are required for businesses of 50 or more full-time employees. If you don’t stay compliant, you could be charged fees. Fortunately, many benefits admin solutions offer automated compliance workflows so you can get the right forms to the right regulatory bodies when you need to.
  • Knowing which benefits are offered tax free: Offering tax-free benefits are a win-win for your company and your employees. For example, tax-free benefits like health savings accounts, flexible spending accounts, commuter benefits, even tuition benefits can save your employees — and your company — money. After all, the income your employees set aside pre-tax for these benefits does NOT count toward your payroll tax dues. So, you could be leaving money on the table if you don’t offer tax-free benefits — or if your employees aren’t taking advantage of them.
  • Costs can get high quickly: Your benefits offering can get expensive very quickly, especially when it comes to healthcare coverage. There are a variety of ways to keep your costs in check — from cost-sharing with employees (i.e. with increased employee contributions and higher deductibles), to changing vendor partners (like moving retirees from group plans to Medicare), to managing pharmacy spend (for example, encouraging the use of generic prescriptions or adding a narrow network).

Benefits & ROI

Benefits admin software can help your company in a myriad of ways. Here is a summary of the benefits we’ve mentioned:

  • Compliance: At the most basic level, you’re required by law to offer certain benefits — and benefits admin software makes it easier for you to stay compliant with these laws.
  • Less Busy Work: Because benefits admin software lets you automate the paperwork-heavy busy-work associated with benefits, your team will have more time to focus on other high-priority areas.
  • Employee Satisfaction: Open enrollment will no longer feel like a chore for your employees — instead, they’ll be able to make smart enrollment decisions online and, in most cases, with just a few clicks. Offering a full-suite of benefits (that are easy to elect) will help you attract top candidates to your organization — and keep them once they’re hired.
  • Smarter Investments: Because benefits admin software offers reporting, you’ll be able to see what benefits are being utilized the most — and which ones aren’t worth investing in further.

To get an idea of what benefits like these can actually do for your bottom line, check out our HR Tech ROI Calculators.

Pricing: What Employee Benefits Admin Platforms Cost

Most benefits admin platforms charge on a per-employee-per month basis and offer tiered pricing depending on the amount of features and functionality you’re looking for. We’ve seen pricing start as low as $8/employee/month. 

When you have your demo(s), you should get a pricing plan that is customized for your company and needs. Just make sure that each quote you get breaks down the features that are included so you can easily compare and make the most informed investment for your company.

Features: What You Can Expect from Benefits Administration Software

Benefits administration software isn’t just a way to centralize your benefits management and alleviate the burdens of paperwork and other administrative tasks. They also offer a host of integrations and features to make your job easier, keep you compliant, save you money, and promote employee engagement. Let’s take a look:

  • Suite of Benefits: Depending on the vendor you choose, you can manage all of your benefits in one place. We’ll talk about this later in the guide, but remember to ask your vendor(s) of choice which benefits are included with their solution.
  • Online Enrollment & Self-Service for Employees: Allow employees to opt-in to their benefits elections themselves — and say goodbye to endless paperwork. With a safe and secure benefits admin platform, your employees can easily enroll in their plans of choice online — or even through a mobile app.
  • Plan Configuration: Easily set up and manage all plans and benefits in one place. This not only makes things easier for your HR/people operations team, it also makes benefits shopping easier for your employees. They can more easily compare plans and sign up online.
  • Payroll Integration: Integrate your benefits and payroll data so the right deductions automatically sync to each employee’s payroll record.
  • Simple Onboarding: Make onboarding easy for new employees by centralizing all necessary paperwork and enrollment opportunities in one place. What’s more, if an employee leaves your company, you can just as easily un-enroll them and initiate COBRA.
  • COBRA: Easily manage COBRA eligibility and compliance with automated reporting to your COBRA administrator. 
  • ACA Reporting: The Affordable Care Act requires employers with 50+ full-time employees to report healthcare coverage to the IRS. With benefits administration software, you can easily generate forms 1094 and 1095 and submit your reports for you so you stay compliant (and avoid fees).
  • More Compliance: In addition to ACA and COBRA compliance, benefits administration software can help you stay compliant in other areas — and get ahead of changing regulations. This includes compliance with HIPAA (i.e. protecting employees’ Personal Health Information, or PHI), ERISA, the Dept. of Labor, the IRS, and OSHA.
  • Reporting: Automate reporting of your HR data — including billing insights, headcount and attrition reports, job and salary reports, and more — to make more strategic, data-driven people decisions. You could even benchmark against other companies in your space to see if there are opportunities or areas of improvement. 

As you develop your full benefits package, think about the features that would benefit your employees the most AND that would help make your job easier.

Demo Questions: What to Ask About Benefits Administration Software

We always recommend demoing a couple vendors so you can see their platforms in action before you actually invest. To prepare for your demos, create a list of questions specific to your company’s benefits needs. Here are some sample questions to get you started:

  • What benefits does your platform have?
  • What benefits do you find are most attractive to employees like mine?
  • How can employees sign up for benefits?
  • Can employees access their benefits plan on their phones?
  • How does HR create a benefits plan?
  • How will this solution fit into the rest of my tech stack and therefore what integrations do I need?
  • How will others in the organization use this solution?
  • What are the key features I want to ask about?
  • What are the things that would make me nervous about buying this sort of solution?

Implementation: Getting Your Employee Benefits Software Off the Ground

The first step to implementing benefits admin software is figuring out what your suite of benefits looks like. From there — and based on the information you gathered during your demo — you’ll know what is required to get your platform of choice up and running. For example, you might need to engage your IT team to help with any necessary integrations.

Then, you’ll need to encourage utilization of the platform during open enrollment periods, for new employees who are onboarding, and for employees who are leaving and need to sign up for COBRA. To get employees to make their benefits elections before your open enrollment period ends, we recommend a variety of touch-points, including:

Software Training Sessions: If you're using a new system, you're going to need to train your HR or People Ops team on setting up and managing each benefit. Then, you'll need to introduce the platform to your employees so they know how to use it. You could do this a number of ways:

  • Ask your vendor if they have pre-recorded training videos that you can share with your employees
  • Meet with individual teams to walk them through the platform
  • Give a brief demo of the platform at an all-staff meeting

All-Staff Emails: Send a note to the entire company at the beginning of open enrollment with instructions on how to use the platform, what actions they need to take by the deadline, what happens if they don't do anything, etc. Then follow-up with "last-call" reminders as the deadline approaches.

Engage Team Leads: Ask team leads and managers to remind their direct reports to make their benefits selections before the deadline.

Benefits Administration Software FAQs

What is benefits administration software?

Benefits administration software are platforms built specifically to plan and provide benefits packages to employees, while also maintaining compliance with government regulations.

Why use benefits administration software?

Benefits administration software streamlines all benefits operations, saving your HR team much needed time. In addition, all employee benefits data is held in one portal, meaning you can analyze all benefits information and create detailed reports about what benefits are used most or least. This provides you with valuable action points for benefits administration. Finally, letting software maintain compliance for you ensures simple, fast, and accurate reports to the IRS and other government entities.

What are some features of benefits administration software?

Features of benefits administration software include reporting, ACA and COBRA compliance, onboarding tools, plan configuration, self-service portal, online enrollment, and payroll integrations.

Next Steps for Your Employee Benefits Administration

Broadly speaking, there are two ways to get benefits admin support: a platform that only focuses on benefits admin or a more comprehensive Human Capital Management (HCM) suite that offers benefits admin as one of many HR features. 

So, you’ll need to figure out which one will make the most sense for your company. We recommend demoing a couple vendors that fit into these two buckets so you can see how their solutions and features align with your needs and budget.

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