Maximizing Health Equity with WageWorks: How Employers can Help Close the Gap

Maximizing Health Equity with WageWorks: How Employers can Help Close the Gap

Health equity is the principle that everyone should have access to medical care and supportive environments that aid them in achieving their fullest potential. However, not everyone has access to quality healthcare, and a disproportionate number of people experience health disparities due to various social determinants of health. One of the primary contributors to these disparities is income, which makes it challenging for those who earn lower wages to access the care they need. This is where WageWorks comes in, a pre-tax benefits program that provides employees with financial tools to help them save money on healthcare costs and promote health equity.

How do WageWorks Programs Work?

WageWorks programs are designed to be flexible, covering different healthcare needs, such as medical, dental, and vision expenses, as well as dependent care expenses. Employers can leverage WageWorks by offering the program to their employees, and employees can use it as an essential tool to manage healthcare expenses. WageWorks programs, such as health savings accounts (HSAs), flexible spending accounts (FSAs), and health reimbursement arrangements (HRAs), enable employees to save money by setting aside pre-tax dollars to pay for their out-of-pocket health expenses.

Maximizing Health Equity with WageWorks

WageWorks provides opportunities for employers to address the issue of health equity in their workplaces by making it possible for employees to access quality healthcare without financial strain. It helps bridge the health equity gap by reducing healthcare costs and promoting preventive care.

Reduced Healthcare Costs

WageWorks programs help employees save money by contributing pre-tax dollars to their accounts. The savings can be used to pay for eligible medical expenses, such as doctor visits, prescription drugs, and hospital stays. The reduced healthcare costs empower employees to access quality care without financial strain, which is a vital element in achieving health equity.

Promoting Preventive Care

Preventive care is essential in maintaining long-term health, but it is often inaccessible, especially for low-wage workers. WageWorks programs promote preventive care by offering the flexibility to save money for services such as annual physical exams, mammograms, and cancer screenings. The programs are designed to support employees in taking care of their health by providing them with the financial tools needed to manage their healthcare expenses.

Examples of WageWorks in Action

Several companies have incorporated WageWorks, and the results have been significant. For example, a recent study conducted by WageWorks and Harris Poll found that almost 70% of employees with access to FSA and HSA funds have taken advantage of those funds to pay for eligible expenses. The study also found that those who take advantage of the programs are more likely to pursue preventative care, such as annual check-ups.

Conclusion

It is critical to promote health equity by supporting access to quality healthcare, and offering WageWorks programs is a step in the right direction. Employers can make a significant impact on their employees’ health by incorporating WageWorks into their benefits package. By taking the initiative to reduce healthcare costs and promoting preventive care, companies can contribute to closing the health equity gap and foster a healthier and more productive workforce.