Don't believe the 'experts' when they tell you pay is not important. Pay might not be always the most important thing but it always ranks right at the top. Pay is only a non-issue when an employee is not dependent on the paycheck or has another source of income. You can offer minimum wage to a journeyman level worker but you will not get journey level skill. If you are offering below market rate you will only attract the worst of the prospective employee pool.
Benefits are similar to pay.
If other like businesses are paying certain benefits you will have to also. Health and dental insurance are benefits that better employees are demanding. But you can also offer additional benefits that will attract better employees. Some of these benefits may cost less than you think. Good employees know they must be continually learning and improving their skills.