Spotlight: Employee Benefit Offerings | U.S. Chamber of Commerce
Introduction
USCC Homepage | Small Business Index Q3 2026
Key Findings
- Seven in ten small businesses report offering at least one benefit to their full-time employees, a consistent rate from Q2 2025.
- There has been an increase in the offerings of key benefits such as:
- Health insurance (46%, up from 41%)
- Paid vacation days (40%, up from 30%)
- Dental and vision coverage (31%, up from 21%)
- Retirement plans (27%, up from 22%)
- Business size is a significant driver of the type of benefits offered, with larger businesses more likely to provide comprehensive benefit packages.
Regional Scores and Sector Trends
- Businesses with 20 or more employees offer full-time benefits to 98% of their workforce.
- Those with 5-19 employees report offering benefits to 88%.
- In contrast, only 57% of businesses with less than five employees provide full-time benefits.
- Manufacturing sectors are more inclined to offer benefits (81%) compared to services (65%) and retail (64%).
Small Businesses' Perspectives on Benefits
- 94% of businesses, even those without current benefit offerings, express that they would provide at least one benefit if resources allowed.
- Health insurance (71%) is the most popular choice, followed by retirement plans (64%), paid vacation (62%), paid sick leave (61%), and dental/vision insurance (60%).
Benefits and Their Impact
- Small business owners believe employee benefits are crucial for:
- Demonstrating care (95%)
- Increasing productivity, engagement, and morale (95%)
- Retaining employees (94%)
- Attracting new employees (89%)
Satisfaction and Challenges
- 82% of small business owners with offered benefits report high employee satisfaction. However, this is a slight decrease from 89% in Q2 2025.
- Major challenges include rising costs (35%) and limited budgets (34%).
- Smaller businesses (fewer than five employees) are more likely to face barriers like not having enough employees (27%).
- 67% of all small business owners desire external assistance with benefit offerings, with a higher percentage among Gen Z/Millennial business owners (75%).