[ Employers ]

The most expensive way to compensate your employees is always cash. This is because in addition to payroll costs you have the additional associated costs of payroll taxes and expenses based on payroll, such as workers compensation expense. Many flexible benefit plans provide you with ways to compensate your employees tax-free. This saves your business money and also helps you to attract and retain quality employees. As their name implies, flexible benefit plans are also very flexible in design. Your business controls within the prescribed legal limits for each plan:

• who is eligible to receive the benefit (in some cases, up to three years of employment)
• the benefit amount (unlimited in some cases)
• the types of expenses covered by the benefit (for example, only dental expenses)

In addition, most of these plans allow employees to contribute as well. This allows employees to lower their taxable income, saving them money on their existing expenses. And, as they save so will you.

See which types of plans can benefit the following businesses.