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There’s no question that Snap Tire, a wholesale tire distributor located outside of Atlanta, Georgia, has seen growth since its inception in 2016. Over the past seven years, the tire wholesale distributor has increased its employee count from four to 32. But as a result of its scaling business, the company recognized that hiring and increasing retention was needed to stay competitive. “We were growing as a company, and in order to attract better talent, retain employees, [and] be competitive in the market, we started adding benefits,” said Ryan Butler, Vice President of Snap Tire.
Staying ahead of the competition with better employee benefits
To encourage employee loyalty and recruit top talent, Snap Tire began adding benefits, which research from Workhuman has found to be a critical factor in whether a worker chooses to leave or stay with an organization. Eventually, the company began looking into retirement plans and came across Human Interest through Paylocity, a payroll provider that seamlessly integrates with the Human Interest platform.
This integration was key for Butler, who manages Snap Tire’s finances, accounting, and human resources. “If we had a dedicated HR, maybe investing in these integrations wouldn’t make sense for our business,” said Butler. “But we’re trying to limit how much administrative work we do.”
Previously, Butler and his team spent hours fixing operational issues and had less time to focus on building business revenue. Now, Butler can spend more time reaching out to potential customers. “I've been out making sales calls for the last three weeks, and that's not something I've been able to do in the last year and a half," said Butler. "It is nice to have everything working together and getting that time to go out and spend with customers.”
In addition to a payroll integration, Snap Tire also wanted an easy user experience for their employees, many of whom are first-time 401(k) savers. With Human Interest's user-friendly onboarding process and built-in educational tools, employees have the ability to start contributing to their 401(k) plans almost immediately.
Providing an opportunity for entry-level employees to save with a safe harbor plan
Snap Tire included a safe harbor contribution in their retirement plan, which allowed the company to offer an employer match to employees who contribute to their 401(k) accounts. Additionally, the company set eligibility limits to 18-years-old and at least three months of service. “I don’t want [employees] to get to a point where they’re 70 years old and still have to do warehouse work,” said Butler. “I think everybody eventually deserves their permanent time off.”
Since implementing a safe harbor retirement plan, Snap Tire has seen turnover decrease and has spent more time focusing on improving revenue. “Our turnover has significantly slowed in the last 12 months versus the first 12 months I was here,” said Butler. “I feel like [in comparison] to our industry, our turnover is fairly low.”
Additionally, the company has more time to focus on expanding its business and has since opened a second location. “We have a new location, so that’s a pretty big milestone,” said Butler. “Looking back, that’s something the owner has been talking about for at least three years. So having [an automated 401(k)] definitely freed us up to work on that expansion.”
From opening a second location to building a pathway for more younger workers to save for their futures, Snap Tire has been able to reach important company milestones as a result of choosing Human Interest.
Human Interest Inc. is an affordable, full-service 401(k) and 403(b) provider that seeks to make it easy for small and medium-sized businesses to assist their employees with investing for retirement. For more information, please visit humaninterest.com.
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