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what drawbacks if any do you see in implementing flexible benefits?consider this question from the perspective...

what drawbacks if any do you see in implementing flexible benefits?consider this question from the perspective of the organization and the perspective of an employee.
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Answer: Flexible benefits- This is a benefit plan for employees that includes; health insurance, retirement benefits and reimbursement accounts, fringe benefits and 401 (K) plans.

Drawbacks of flexible benefits for organization- Organizations' cost increase. Cost of administration increases that affect the profitability of the company. This is not good for small business because cost of designing retirement plan is more.

Drawbacks of flexible benefits for employees- Employees get higher benefits than salary, they may spend more when they get higher benefits apart from salary. Fringe benefits are levied fringe benefits tax. If company provides flexible benefits to employees, it may decrease their salaries to compensate the administration cost.

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