Rethinking Benefits: How LSAs Align with a Holistic Approach to Employee Wellness
Employers are reevaluating what it means to support employee well-being. Traditional benefits packages often fall short in addressing the full scope of human health. As a result, businesses are looking for flexible, meaningful solutions that empower employees to prioritize their wellness. One such innovation is the Lifestyle Spending Account (LSA), a benefit model that aligns well with a holistic health philosophy. Especially in places like San Diego, where holistic healthcare is thriving, LSAs are emerging as a strategic tool for progressive companies.
According to Principal Financial Group, 80% of small and midsize businesses want to expand employee benefits, yet budget constraints remain a major hurdle. At the same time, 89% of employees say they want more benefits. (Principal Financial Group's "How Voluntary Benefits Can Work Hard for Your Business, Your Employees and Your Bottom Line"). This gap is where LSAs can deliver real value.
What Are LSAs and How Do They Work?
LSAs are employer-funded accounts that employees can use for a variety of wellness-related expenses. Unlike traditional Flexible Spending Accounts (FSAs) or Health Savings Accounts (HSAs), LSAs are highly customizable and not restricted to IRS-defined medical expenses. Employers define eligible expenses and fund the accounts according to budget and culture-fit.
Employees may use LSAs for:
Gym memberships
Acupuncture and massage therapy
Nutritional counseling
Yoga or meditation classes
Holistic health consultations
Non-toxic products and wellness tools
This flexibility means companies can support physical health and emotional well-being without locking employees into rigid plans. LSAs allow each person to access the therapy, products, or services that best fit their unique lifestyle.
The Science Behind Holistic Health in the Workplace
Holistic healthcare views the individual as an interconnected system—mind, body, and spirit. When employers only address physical health through insurance-based models, they miss opportunities to influence broader wellness outcomes.
Incorporating options like acupuncture, breath work, and mindfulness practices into workplace benefits supports the body's parasympathetic response—the rest-and-digest system responsible for recovery and long-term health. The flexibility of LSAs allows businesses to fund access to these resources without inflating health insurance costs.
Benefits of LSAs in a Holistic Wellness Model
LSAs provide more than just financial support. They signal that an employer understands the complexity of modern wellness needs. When implemented correctly, LSAs can:
Promote autonomy: Employees choose services that resonate with their specific health needs.
Support diverse therapy options: From somatic coaching to personalized movement therapy, employees can access care beyond standard medical models.
Foster prevention, not just intervention: Preventative wellness strategies like nutrition therapy and energy medicine become more accessible.
Encourage sustainable lifestyle practices: Funding for seasonal wellness tools or eco-conscious health products cultivates a more mindful workforce.
By promoting access to these holistic solutions, employers demonstrate a commitment to full-spectrum employee well-being.
Why San Diego Businesses Are Leading the Way
San Diego has become a hub for integrative and holistic health, making it an ideal region for businesses to adopt LSAs. Companies in this area are increasingly partnering with wellness centers that offer acupuncture, herbal medicine, physical therapy, and meditation. Saffron & Sage is one such provider that exemplifies what a comprehensive wellness model can look like.
The city's natural lifestyle, year-round movement opportunities, and health-conscious community create fertile ground for LSAs to succeed. When employees are given the freedom to align their healthcare with personal values and seasonal rhythms, they are more likely to engage consistently in wellness practices.
Building a Culture of Health Through LSA Integration
Employers looking to introduce LSAs should consider the following strategic steps:
Assess Employee Needs: Survey employees to understand their wellness priorities.
Partner with Holistic Providers: Create referral networks with wellness centers like Saffron & Sage that offer acupuncture, therapy, and movement-based solutions.
Educate and Onboard: Host workshops on how to use LSAs to support physical and emotional health.
Review Utilization Trends: Adjust eligible expenses to ensure offerings stay aligned with employee preferences and seasonal needs.
Employers who integrate LSAs with intentional design foster not just participation but a genuine shift toward a wellness-first culture.
Addressing Common Employer Concerns
Some business leaders hesitate to adopt LSAs due to perceived administrative burdens or return-on-investment concerns. However, studies have shown that the ROI of wellness programs can reach as high as $6 for every $1 spent (Harvard Business Review's "What’s the Hard Return on Employee Wellness Programs?"). LSAs represent a streamlined method for achieving these returns because they require less infrastructure than traditional wellness initiatives.
Additionally, LSAs appeal to younger generations who value personalized benefits. In a survey by MetLife, 70% of Gen Z employees said they are more likely to stay with a company that offers a wellness program that reflects their values (MetLife's 2023 Employee Benefit Trends Study).
This alignment is critical in competitive markets like San Diego, where employee retention is often shaped by quality-of-life considerations.
The Future of Holistic Health in Employee Benefits
The demand for wellness benefits that prioritize the whole person is not a trend—it’s a movement. As more companies adopt holistic strategies that include LSAs, they are building systems of care that go beyond symptom management.
From a strategic perspective, LSAs bridge the gap between what traditional insurance offers and what employees actually need. They also promote integrative solutions that address chronic stress, burnout, and the emotional toll of high-performance work environments.
Forward-thinking businesses are recognizing that therapy, physical health, nutrition, and emotional resilience are not separate categories—they’re part of a unified system. LSAs offer the structure and flexibility needed to honor that reality.
Partner with Saffron & Sage for Your Holistic Healthcare Needs
If your business is ready to take a meaningful step toward employee well-being, Saffron & Sage can help. As a trusted provider of integrative care in San Diego, we offer a range of services—from acupuncture and movement therapy to nutrition consultations and breathwork—that can be seamlessly covered through LSAs.
Let’s work together to build a benefits package that honors the full spectrum of wellness.
Contact us today at 619-933-2340 orlearn more about our services to start designing your team’s holistic care plan.