Building a Benefits Package for Today’s Multi-Generational Workforce

Today’s employers face a challenge unlike any before: supporting a workforce that spans five generations, each with distinct expectations, needs, and priorities. From Baby Boomers preparing for retirement to Gen Z just beginning their careers, no two groups approach health, wellness, or financial security the same way.

The question for employers and brokers is clear: how do you design a benefits strategy that works for everyone?

Understanding the healthcare needs of a multi-generational workforce

Before building a plan, it’s important to understand who makes up today’s workforce and what they tend to prioritize:

• Silent Generation (pre-1946): Though rare in full-time roles, some remain active in consulting or part-time work, with significant healthcare needs.
• Baby Boomers (1946–1964): Nearing retirement, often focused on financial security, long-term care, and managing chronic conditions.
• Generation X (1965–1980): Balancing peak career demands with caregiving for both children and aging parents, while seeking stability and flexible health benefits.
• Millennials (1981–1996): The largest generation in today’s workforce, often prioritizing mental health support, financial wellness, and career development.
• Generation Z (1997–2012): Digital natives who expect affordability, personalization, and flexibility in both health and lifestyle benefits.

With such a wide range of ages, health needs, and financial goals, a one-size-fits-all benefits package is no longer enough.

The challenge employers (and brokers!) face

Designing benefits for a multi-generational workforce is no small task. Employers and brokers are navigating competing pressures that make it difficult to strike the right balance:

• Diverse expectations: A 60-year-old preparing for retirement may value stability and comprehensive coverage, while a 25-year-old paying off student loans may care more about affordability and personalization. Meeting both ends of the spectrum requires more than the standard handful of options from a single carrier.
• Engagement gaps: Even strong benefits strategies fall flat if employees don’t understand their options. Without clear education and decision support, people can make inopportune decisions leading to misutilized care.
• Rising costs: Health insurance premiums, retirement contribution limits, and salaries are climbing every year. Employers need ways to manage budgets without sacrificing employee support.

Without a thoughtful approach that balances cost, customization, and communication, organizations risk spending heavily on programs that fail to deliver real impact.

Strategies for designing multi-generational benefits

The good news? These challenges also create opportunities for innovation. Leading employers are moving away from rigid, one-size-fits-all models and rethinking benefits design from the ground up. Here are a few proven strategies:

1. Core benefits with flexible add-ons

Healthcare coverage, retirement plans, and paid time off remain the foundation of a strong package. But layering in optional programs, such as mental health services, student loan assistance, or eldercare support, empowers employees to choose what matters most.

2. Personalized health coverage

Models like Individual Coverage HRAs (ICHRAs) allow employers to give workers tax-free funds to buy health insurance that fits their needs. Younger employees can opt for affordable, HSA-eligible plans, while older workers can select comprehensive coverage that matches their anticipated care needs. The result: cost control for employers, choice for employees, and higher satisfaction across generations.

3. Financial wellness and retirement planning

Financial priorities vary widely by age. Older employees may focus on retirement savings, while younger ones want help paying down debt or learning to invest. Flexible financial wellness programs, like company-facilitated high-yield savings accounts, can support both. Employers that seed or match deposits create a benefit that’s equally valuable for building an emergency fund or growing a retirement cushion.

4. Prioritizing mental health

Across every generation, mental health support has become almost non-negotiable. Access to counseling, stress management tools, and virtual care demonstrates that employers take employee well-being seriously.

5. Education and decision support

Benefits only deliver value if employees know how to use them. But effective education isn’t one-size-fits-all—different generations absorb information in different ways. Younger employees may prefer mobile tools, self-service portals, or short video explainers, while older workers often value live sessions, printed materials, or one-on-one conversations with enrollment experts. 

By offering multiple formats, ranging from personalized recommendations and group education sessions to clear, accessible digital comms, employers can meet employees where they are, build confidence in decision-making, and ensure programs are fully utilized across every generation.

The role of brokers and advisors

For brokers and advisors, this is a prime opportunity to add value. Employers need guidance on balancing rising costs with diverse employee needs. By recommending flexible models, highlighting creative benefit pairings, and supporting ongoing education, brokers can help employers design packages that truly resonate.

But designing benefits for a multi-generational workforce isn’t about checking boxes. It’s about delivering value that feels personal, relevant, and supportive. Employers who embrace flexibility—anchoring benefits on strong core offerings while adding targeted, customizable options—will be best positioned to attract and retain talent, no matter their employees’ stage of life.

Because the workforce has changed. The benefits must, too.

Interested in learning how Zorro helps support flexible, personalized benefits? Schedule a demo to learn more.