Top 10 Wellness Budgets for 2027

1Wellhub Corporate Platform

Wellhub ranks first because it replaces the single-gym membership with one corporate-paid subscription covering thousands of studios, gyms, and wellness apps. Rebranded from Gympass in 2023, it operates across dozens of countries, letting HR offer strength training, yoga, therapy apps, and nutrition coaching under one contract. That breadth is why it takes the top spot over every stipend model below.

It suits larger, multi-market employers wanting one contract instead of a patchwork of point solutions, trading deep specialization for sheer breadth of access. Compared to Forma below it, Wellhub controls which venues and apps are included rather than handing employees a blank-check stipend, so it fits companies preferring curated options over open-ended flexibility.

2Forma Lifestyle Spending Account

Forma ranks second because it hands the wellness budget directly to employees as a flexible lifestyle spending account rather than pre-selecting vendors. Employers define eligible categories like fitness, mental health, or family care, and it integrates with major HRIS and payroll systems so finance teams cap spend per employee. That flexibility is why it sits just behind Wellhub.

It suits companies wanting maximum employee choice and minimal vendor lock-in, but it trades away the curated, pre-negotiated discounts bundled platforms like Wellhub above it provide. Because Forma doesn't own a gym or therapist network, program success depends entirely on how well HR defines eligible spending categories and communicates them to staff.

3ClassPass for Business

ClassPass for Business ranks third because it converts the consumer ClassPass marketplace of boutique studios, gyms, and spas into monthly employer-funded credits. Employees can drop into a different Pilates or boxing studio each week without a long-term membership, running on the same class-credit economy as the consumer app across nearly every major city.

It fits employees who want variety over routine in dense urban markets with plenty of studio options, but it offers less structured mental-health support than the point solutions ranked below it. Compared to Forma's open-ended stipend above it, ClassPass locks the budget into fitness and beauty bookings rather than any employee-chosen category or provider.

4Virgin Pulse Wellbeing Platform

Virgin Pulse ranks fourth because it's built around behavior change rather than access, using a points-and-rewards engine that connects to Fitbit, Apple Watch, and Garmin data to turn steps, sleep, and checkups into redeemable incentives. Large self-insured employers use it for population health management, pairing the gamified app with coaching and biometric screening data.

It fits big enterprises with in-house benefits teams who want measurable engagement data, not smaller companies looking for a quick fitness perk. Unlike ClassPass above it, Virgin Pulse doesn't fund specific classes or sessions directly — it rewards behavior with points redeemable for gift cards and merchandise, which takes more program design work to launch.

5Headspace for Work

Headspace for Work ranks fifth because it narrows the wellness budget to a single, well-validated category — meditation and sleep — rather than spreading it across fitness and therapy. Employees get the full Headspace app library of guided sessions and Sleepcasts, and after Headspace's merger with Ginger, some employer plans add on-demand text and video coaching under the Headspace Care name.

It suits companies prioritizing mental-health and stress-reduction benefits over physical fitness perks, but it doesn't cover gym access or fitness classes the way Wellhub or ClassPass do above it. Compared to Calm for Business just below it, Headspace leans more clinical with its Ginger-powered coaching add-on.

6Calm for Business

Calm for Business ranks sixth because it covers the same meditation-and-sleep territory as Headspace but stays closer to consumer content — Daily Calm sessions, Sleep Stories narrated by celebrities, and masterclasses — rather than adding clinical coaching. It's licensed per employee the same way Headspace is, giving HR teams a flat per-seat cost instead of a variable, usage-based spending pool to manage.

It works well for employers who want a recognizable, low-friction mental-wellness perk employees already know from the consumer app store charts, but it offers less structured therapeutic support than BetterHelp for Business below it. Where Headspace added clinical coaching through Ginger, Calm has stayed a content-and-mindfulness product rather than a licensed therapy platform.

7BetterHelp for Business

BetterHelp for Business ranks seventh because it's the most clinically substantive mental-health option on this list, offering licensed therapists via text, phone, or video rather than a self-guided meditation app. As part of Teladoc Health, which acquired BetterHelp in 2015, it plugs into existing telehealth infrastructure that many large employers already use for other medical benefits and claims.

It's built for employees who need actual therapy, not stress-management content, but it's a narrower benefit than Wellhub or Forma since it only covers mental-health care rather than fitness or broader lifestyle spending. Compared to Calm above it, BetterHelp trades ease-of-use and low cost for real clinical access, which typically means a higher per-employee price tag.

8Peloton Corporate Wellness

Peloton Corporate Wellness ranks eighth because it ties the wellness budget to one specific brand's hardware and content ecosystem — discounted bikes, treads, and rowers alongside full access to the Peloton App's live and on-demand classes in cycling, strength, and yoga. Employers subsidize either app-only access or equipment discounts, unlike the studio-agnostic credit model ClassPass uses.

It fits companies with a genuinely Peloton-loyal workforce or remote employees who already have space for equipment at home, but it's the least flexible pick here since it locks the benefit to one hardware and content brand instead of a marketplace. Compared to Wellhub's multi-studio access above it, Peloton offers depth in one format rather than breadth across many providers.

9Vitality by Discovery

Vitality by Discovery ranks ninth because it links the wellness budget directly to insurance pricing, rewarding tracked healthy behavior — steps, checkups, healthy grocery purchases — with points that lower premiums or unlock partner discounts. Originally built by South Africa's Discovery Limited, the model is licensed to insurers like John Hancock in the U.S. under the John Hancock Vitality program.

It's designed for insurers and employers bundling wellness into a life or health insurance product, not standalone HR benefit administration, so it fits a narrower buyer than Virgin Pulse above it. The tradeoff is that Vitality's rewards are tied to an insurance policy rather than a portable stipend, so employees typically lose the benefit entirely if they leave the plan.

10Wellable Wellness Platform

Wellable ranks tenth because it's the most budget-conscious platform here, built for small and midsize employers who want wellness challenges, a benefits portal, and wearable-data integration without enterprise-level pricing. It packages step challenges, webinars, and biometric screenings into one dashboard rather than negotiating access to thousands of studios the way Wellhub does for larger corporate clients.

It suits smaller companies just starting a wellness program who need an affordable, all-in-one dashboard rather than the deep vendor networks or clinical coaching found higher on this list. Compared to Virgin Pulse above it, Wellable trades enterprise-scale data analytics and incentive engines for simplicity, easier setup, and a meaningfully lower cost of entry for a first-time buyer.

How we ranked these

Rankings weighted per-employee spend, breadth across mental health, fitness, financial wellness and preventive screenings, documented utilization versus enrollment, measurable impact on absenteeism and claims, and flexibility between stipend and fixed-benefit structures. Vendor integration quality and employee satisfaction scores carried secondary weight, since a generous budget employees rarely redeem delivers little value regardless of the dollar figure attached.

We ignored headline total budget size, one-off perk announcements like nap pods or foosball tables, vendor marketing claims about ROI lacking third-party audit, and short-term pilots without at least two fiscal years of data. Luxury or novelty benefits with low projected uptake were excluded, since they inflate sticker price without improving the metrics that predict retention, productivity, or lower claims costs.

Related questions

How much should a company budget per employee for wellness in 2027?

Most mid-size employers land between $600 and $1,500 per employee annually, though the right number depends on workforce age, remote/in-office mix, and whether mental health coverage sits inside the wellness budget or the core health plan. Smaller companies often start lower with a flexible stipend and scale up once utilization data shows which categories employees actually redeem.

Is a flexible wellness stipend better than a fixed gym benefit?

For most workforces, yes, because a single-use gym benefit only serves employees who want gym access, while a flexible stipend lets people apply funds to therapy, childcare, fitness, or financial coaching based on their own needs. Fixed benefits still make sense for smaller, more homogeneous teams where leadership already knows what employees will use.

What percentage of wellness budgets typically go unused?

Industry surveys commonly find 20% to 40% of allocated wellness dollars go unredeemed each year, usually because employees don't know the benefit exists, find enrollment confusing, or the eligible categories don't match their actual needs. Low uptake is the single biggest signal that a budget needs redesigning rather than a bigger increase.

Should mental health coverage come out of the wellness budget or the health plan?

Core mental health treatment like therapy and psychiatry should sit in the health plan so it's covered by insurance, while the wellness budget is better used for supplemental support like meditation apps, coaching, or short-term counseling not covered by the plan. Mixing the two often causes employees to hit low annual caps for care they actually need.

How do small businesses budget for wellness without an HR department?

Small employers typically use a flat per-employee stipend administered through a simple reimbursement platform or even a monthly card, avoiding the administrative overhead of a full benefits department. Starting with $300 to $600 per year and a short approved-category list keeps tracking manageable without dedicated staff.

Do wellness budgets actually reduce healthcare claims costs?

Well-designed, well-utilized programs show modest but real reductions in claims tied to stress, musculoskeletal issues, and preventable chronic conditions, typically over a two-to-three-year horizon rather than immediately. Programs with low enrollment or narrow eligibility rarely move claims data at all, which is why utilization matters more than budget size.

What's the difference between a wellness budget and a wellness stipend?

The budget is the total dollar amount a company allocates to wellness programming company-wide; the stipend is the mechanism, a fixed dollar amount given directly to each employee to spend within approved categories. A company can have a wellness budget without a stipend if it instead funds on-site programs or negotiated vendor discounts.

How often should a wellness budget be reevaluated?

Annually at minimum, tied to open enrollment, but the utilization data should be reviewed quarterly so underused categories can be reallocated before the year ends. Waiting a full year to notice a benefit nobody uses wastes budget that could have gone to something employees actually wanted.

FAQ

What is a wellness budget?

A wellness budget is the dollar amount an employer sets aside annually to fund employee health and well-being programs, which can include fitness reimbursements, mental health support, financial coaching, and preventive care incentives. It's typically distributed as a stipend, a set of company-sponsored programs, or a hybrid of both.

How much do companies spend on employee wellness per year?

Spending varies widely by company size and industry, but recent benefits surveys put average per-employee wellness spend somewhere between $500 and $1,800 annually for companies with formal programs. Larger enterprises with comprehensive mental health and preventive care offerings tend to sit at the higher end of that range.

Are wellness stipends taxable?

In the United States, cash wellness stipends are generally treated as taxable income unless they're run through a qualified, IRS-approved program like a Health FSA or a Section 125 cafeteria plan. Employers should confirm structure with a tax advisor, since misclassifying a stipend can create compliance issues at year-end.

What should be included in a 2027 wellness budget?

A well-rounded budget usually covers mental health support, physical fitness reimbursement, financial wellness coaching, and preventive health screenings, with growing allocation toward flexible, employee-directed spending categories. Emerging additions for 2027 include caregiver support stipends and sleep-focused benefits, reflecting shifting workforce priorities.

Can employees roll over unused wellness budget to the next year?

Rollover policy is entirely employer-defined; most companies reset the budget annually to encourage use, though some allow a partial carryover, often capped at 25% to 50% of the unused amount. Allowing full rollover can reduce urgency to use the benefit at all, which is why most programs discourage it.

Do wellness budgets improve retention?

Programs with high utilization and benefits that match what employees actually value show a measurable link to retention, particularly among younger workforces who weigh benefits heavily in job decisions. A generous but poorly matched or underused budget has little retention effect, since employees who don't use a benefit don't credit it as a reason to stay.

What's a reasonable per-employee wellness budget for a startup?

Early-stage startups commonly start around $250 to $500 per employee per year, delivered as a simple monthly stipend rather than a full benefits program, then scale the amount as headcount and revenue grow. Keeping the category list short in the early stages makes the benefit easier to administer without dedicated HR staff.

How is a wellness budget different from an EAP?

An Employee Assistance Program (EAP) is a specific, usually insurance-adjacent benefit offering free short-term counseling and crisis support, while a wellness budget is a broader, more flexible pool of funds employees can direct toward a wider range of health and well-being needs. Many companies run both side by side rather than choosing one.

Should remote and in-office employees get the same wellness budget?

Most companies keep the dollar amount equal for fairness but adjust eligible categories, letting remote employees apply funds to home office ergonomics or internet costs while in-office employees might access on-site amenities instead. Treating the categories, not just the total, as flexible avoids resentment between the two groups.

What tools help track wellness budget utilization?

Benefits administration platforms with built-in stipend tracking, along with HRIS-integrated dashboards, let HR teams see redemption rates by category in real time rather than waiting for an annual vendor report. Smaller companies often manage this with a simple reimbursement spreadsheet tied to monthly expense submissions.

Sources

• https://www.shrm.org/topics-tools/topics/employee-benefits
• https://www.cdc.gov/workplacehealthpromotion/index.html
• https://www.gallup.com/workplace/215924/employee-wellbeing.aspx
• https://www.mercer.com/en-us/insights/total-rewards/employee-benefits/
• https://www.wtwco.com/en-us/insights
• https://hbr.org/topic/employee-benefits
• https://www.forbes.com/sites/forbeshumanresourcescouncil/

Related on PULSE

• More wellness budgets rankings and buying guides
• PULSE Tools and calculators
• Everything on PULSE RevOps