Flexible benefits: A how-to guide

This book was written for two purposes, first to ascertain whether a flexible benefit plan is appropriate and, if so, to assist plan sponsors with the successful implementation of a flexible benefit plan through a logical and tested process. The concepts processes discussed in section 7, communication, and section 9, step by step process for successful implementation of a flexible benefit plan, can be utilized for other areas of employee benefits human resources. Flexible compensation is a method of structuring benefits within a total compensation package to minimize the cost effectiveness of the plan sponsors expenditures and employee benefits. Cost-effectiveness can be improved by: Controlling health costs both directly and through point of delivery cost control programs Limiting the growth in new benefits Minimizing unneeded and or duplicate benefits Relating benefits to the changing demographics of the workforce Establishing the worth of benefits and involving employees in the cost Minimizing the use of pre-tax dollars Creating a new look by dealing with Rising costs in an Innovative manor Giving employee freedom to choose their benefits and not continuing to provide all benefits to all employees Incorporating retiree Health Care with cost-effective changes Tying benefit philosophy to a total compensation philosophy that includes salary, benefits and other forms of compensation