Advantages and Disadvantage for Flexible Benefit plans
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Employees are more understandable to benefit increase
Advantage
Employees choose package that stratifies there needs
Advantage
Introduction to new benefits are less costly
Advantage
Creates administrative burdens
Disadvantage
Employees make bad decisions on benefits to choose
Disadvatage
Flexible benefits are subjected to discrimination (HIPPA's) within Section 125 IRS
Disadvatage
Adverse Selection
Dusadvatage
