Glossary — Benefits

Employee Assistance Program (EAP)

A confidential employee benefit providing short-term counseling and referrals for personal or work-related issues.

Definition

EAPs offer confidential short-term counseling, referrals, and resources for mental health, substance abuse, financial stress, legal questions, relationship issues, and work-related concerns. Employees typically receive a fixed number of free sessions per year (5-8 is common); after that, referrals to ongoing care.

EAPs are inexpensive per employee ($1-3/month is common) but used by a small fraction of the workforce. The value is concentrated in critical-incident response (workplace deaths, layoffs, family crises) and as a mental health touchpoint that doesn't go through health insurance.

PEOs typically include EAP access as part of standard benefits.

Common questions about Employee Assistance Program (EAP)

A confidential employee benefit providing short-term counseling and referrals for personal or work-related issues.

EAPs offer confidential short-term counseling, referrals, and resources for mental health, substance abuse, financial stress, legal questions, relationship issues, and work-related concerns.

Most PEO buying decisions touch several related concepts at once. Employee Assistance Program (EAP) typically comes up alongside the other terms in this category. Closely related terms include Group health insurance.

Browse the full PEO glossary

This is one entry from our PEO glossary covering payroll, benefits, workers comp, HR compliance, and PEO mechanics. Browse all terms.

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