- Benefits administration software at a glance
- Eleven benefits administration tools to consider
- What ERISA asks of plans
- Payroll add-on, PEO or dedicated platform?
- Questions to ask in a demo
- Features employees notice
- Signs it's time to change
- Getting employees to use it
- My plain advice on choosing benefits software
- Frequently asked questions
The best benefits administration software depends on who runs your benefits: a payroll add-on suits small businesses, a PEO suits founders who'd rather hand it off, and a dedicated platform suits HR teams and brokers managing many plans. Eleven options follow in no particular order.
Benefits are one of the reasons people join and stay. They're also one of the most admin-heavy parts of HR, with enrolment windows, life events, carrier files and compliance deadlines.
The eleven tools below are listed alphabetically and in no particular order, from payroll-linked benefits to platforms built for brokers and large employers. Every description comes from the vendor's own site, read this week. If you're also working on keeping people happy at work, my roundup of employee engagement software is a good companion.
Benefits administration software at a glance
In the free plan column, Yes means the tool's own site names a free plan, a free version, a free app or an open source edition. Trial only means a time-limited trial. Not stated means the pages I read named neither, even where there's a button inviting you to try it.
| Tool | Type | Good for | Free plan |
|---|---|---|---|
| Benefitfocus | Benefits administration and health plan software | Large employers and health plans | Not stated |
| bswift | Benefits administration for employers and brokers | Large and complex employers | Not stated |
| Businessolver | Employee benefits administration technology | Benefits plus compliance tracking | Not stated |
| Ease | Benefits system for brokers and employers | Brokers serving small groups | Not stated |
| Employee Navigator | Benefits administration software for brokers and HR | Brokers plus onboarding and ACA | Not stated |
| Gusto Benefits | Health insurance and retirement plans for small businesses | Benefits tied to payroll | Not stated |
| Justworks | PEO and payroll for small businesses | A PEO route to benefits | Not stated |
| PlanSource | Benefits administration software for HR teams | HR teams wanting human guidance | Not stated |
| Rippling Benefits | AI-powered benefits administration software | HR, payroll and benefits in sync | Not stated |
| Selerix | Benefits administration, ACA and COBRA software | Enrolment plus ACA compliance | Not stated |
| ThrivePass | Personalised employee benefits platform | Flexible and lifestyle benefits | Not stated |
Eleven benefits administration tools to consider
Benefitfocus
Best for: Health plans and big employers that want end-to-end benefits administration with decision support and a mobile app.
bswift
Best for: Large and complex employers, plus brokers serving smaller groups, who want benefits administration with service and support.
Businessolver
Best for: Employers that want benefits administration with compliance tracking for federal and state laws and personalised communications.
Ease
Best for: Brokers who want to grow a small group book of business on a benefits system built around how they work.
Employee Navigator
Best for: HR teams and brokers that want benefits administration, new hire onboarding and ACA reporting from one login.
Gusto Benefits
Best for: Small businesses on Gusto payroll that want health insurance and retirement plans with deductions synced automatically.
Justworks
Best for: Founders who want benefits, payroll and compliance through a PEO rather than running benefits admin themselves.
PlanSource
Best for: HR and benefits leaders who want benefits technology blended with steady human guidance for employees.
Rippling Benefits
Best for: Companies that want HR, payroll and benefits always in sync, with new hires prompted to enrol automatically.
Selerix
Best for: Brokers, carriers and employers that want benefits enrolment, ACA compliance and COBRA administration on one platform.
ThrivePass
Best for: Companies offering flexible benefits such as spending accounts alongside tuition reimbursement and COBRA support for leavers.
What ERISA asks of plans
The U.S. Department of Labor says ERISA sets minimum standards for most voluntarily established retirement and health plans in private industry, and requires plans to give participants plan information, including important information about plan features.
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Benefits software is often where that information reaches employees. Check what documents each system can store, send and track.
Payroll add-on, PEO or dedicated platform?
Payroll add-ons keep benefits inside the same system that pays people, which suits small businesses. PEOs take on benefits, payroll and compliance for you, so you're not running benefits admin yourself. Dedicated platforms suit HR teams and brokers managing many plans, carriers and employee groups, with deeper enrolment, ACA and COBRA tools.
Brokers often choose one platform for all their clients, so ask yours what they use before you pick.
Questions to ask in a demo
- How do employees enrol, and what does it look like on a phone?
- How are life events and qualifying changes handled?
- Does it connect to your payroll and HR system?
- Which carriers does it send data to automatically?
- Does it help with ACA reporting and COBRA?
- Who supports employees with questions during enrolment?
Features employees notice
- Mobile enrolment. Choices made from a phone, not a paper pack.
- Decision support. Plain explanations of each plan.
- Life event changes. New baby or new address handled in one place.
- One login. Benefits, payslips and HR details together.
Signs it's time to change
If open enrolment means weeks of spreadsheets and emails, carrier errors keep surfacing and employees can't find their plan details, a dedicated system will make the next enrolment far calmer.
Getting employees to use it
Even a great system won't help if nobody logs in. Send a short video or one-page guide before enrolment opens, name a person employees can ask, and check the mobile experience yourself. It's the small things that decide whether people make good choices or just tick the same box as last time.
Do you make benefits administration software? Tool makers can ask to be considered for a featured place on this list.
My plain advice on choosing benefits software
Start with your broker and your payroll. If either already uses a benefits platform that connects cleanly, that's often the easiest path. Fighting your payroll system every month isn't worth any feature.
Then run enrolment as an employee would, on a phone, with a family and a mid-year change. If that's confusing for you, it'll be confusing for your team. My guide on improving employee management for small businesses covers the wider HR picture.
Frequently asked questions
What is benefits administration software?
It manages employee benefits such as health, dental and retirement plans, handling enrolment, changes, carrier data and compliance.
Is there free benefits administration software?
None of the tools on this list named a free plan on the pages I read. Check the table and ask your broker.
What's the difference between a PEO and benefits software?
Benefits software is a tool you run. A PEO takes on benefits, payroll and compliance for you as a service.
Do small businesses need benefits administration software?
If you offer benefits to more than a handful of people, software tied to payroll saves errors and time at enrolment.
What does ERISA require?
The Department of Labor says ERISA sets minimum standards for most private-sector retirement and health plans and requires plans to give participants plan information.
Can benefits software handle ACA and COBRA?
Several tools here include ACA reporting and COBRA administration. Check the good for column.
