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According to Gupta, nearly one-third of employers anticipate budget increases of less than 5%, versus the 9% to 10% increases in healthcare costs forecast by industry analysts.

This is why HR/TR teams will likely need to construct ways to stretch their benefits budgets as far as possible in 2026.

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Editor’s Note: Additional Content For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics: Employee Compensation;Employee Experience;Finance and Budgeting;Organizational Performance ;

Editor’s Note: Additional Content For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics: Employee Benefits; Employee Experience; Finance and Budgeting; Organizational Performance;

Just because you might have secured a compensation budget does not mean you should automatically provide annual salary increases and bonus payments on the routine schedule and adhere to the same historic process.

Here are five examples: ;Financial risk arises when overly generous incentives strain budgets, affect profitability or delay progress of strategic initiatives.; ;Talent risk emerges when underpaying top performers leads to high turnover, disengagement or the inability to attract sufficient skills.; ;Regulatory risk involves non-compliance with laws governing employee classifications, pay transparency, deferred compensation or executive disclosures.; ;Operational risk may stem from errors in bonus calculations or misaligned systems.; ;Reputational risk can surface when executive pay appears excessive during periods of poor performance or layoffs.; Of course, it’s also important to recognize the impact of exposing an organization to undue risk through misaligned compensation philosophy.

Editor’s Note: Additional Content For more information and resources related to this article see the pages below, which offer quick access to all WorldatWork content on these topics: Employee Experience ;Finance and Budgeting ;Organizational Performance ;

Editor’s Note: Additional Content For more information and resources related to this article see the pages below, which offer quick access to all WorldatWork content on these topics: Employee Compensation ;Employee Experience ;Finance and Budgeting ;

It has a salary range of $41,000 to $122,000, with a 50-50 split between male and female job holders.