Flexible employee benefits, what are they and how to make the most of them?

More and more employers are turning to an employee benefits platform to offer packages that adapt to employees’ life stages and personal interests. But in practice, it’s not always easy: What truly fits? How do you keep it simple? And how do you make sure employees actually use what’s available?

That’s where a flexible employee benefits platform makes the difference. No more “one size fits all,” but a personal menu of options that employees can tailor to what matters most right now. The result? A benefits package that’s relevant, impactful, and ready for the future.

In this article:

• What is a flexible employee benefits platform?
• Examples of flexible employee benefits
• Smart use of the Work-Related Costs Scheme (WKR)
• Why flexible benefits matter for employers & employees
• How to implement a benefits platform effectively
• Tax advantages of flexible benefits
• Conclusion: future-proof benefits

What is a flexible employee benefits platform?

A flexible employee benefits platform gives employees the freedom to choose the benefits that matter most to them. It allows them to partly create their own package based on personal needs and priorities.

Employers provide a budget, monthly or annually, that employees can spend through the platform. This can be set up as an Individual Choice Budget (IKB), Personal Choice Budget (PKB), or a cafeteria model.

The focus is on freedom of choice: what works for one person may not be relevant for another. One employee might choose a lease bike, another might opt for mental health support, and another for extra leave during a busy period. These personal decisions lead to better work-life balance, stronger engagement, and higher satisfaction.

Examples of flexible employee benefits

• Extra vacation days for rest and recovery
• A vitality budget for sports or healthy food
• Lease bike scheme for sustainable mobility
• Cultural events or workshops
• Coaching for mental or financial wellbeing

Smart use of the Work-Related Costs Scheme (WKR)

An employee benefits platform can help you make the most of the WKR.

In 2025, the WKR discretionary margin will be 2% of the taxable wage bill up to €400,000, and 1.18% on the excess.

If the WKR is fully used, you can still offer attractive options outside it, such as a lease bike, buying or selling vacation days, or making extra pension contributions.

Why flexible benefits matter for employees

• Choice and relevance: Employees select benefits that match their priorities.
• Higher satisfaction and engagement: Flexible options improve connection and work-life balance.
• Support in every life stage: From vitality to extra leave or mobility, benefits adapt as life changes.
• Financial and tax advantages: Savings for both employees and employers.

Why flexible benefits matter for employers

• Attract and retain talent: New generations expect personalisation and choice.
• Higher retention and engagement: Personalised packages drive loyalty.
• Better uptake of benefits: Flexibility boosts actual usage.
• More value without higher payroll costs: Tax-efficient options increase impact for the same budget.

How to implement a flexible employee benefits platform effectively

• Integrate with payroll & HR systems: Ensure smooth, automated processes, see our HR & payroll integrations.
• Transparency and choice: Let employees see and select what suits them best.
• One-stop solution: Offer a wide range of options from trusted partners in one place.
• Maximise tax advantages via the WKR: Use gross-to-net exchanges to stretch budgets further.

Tax advantages of flexible employee benefits

With a flexible employee benefits platform, employers can make optimal use of tax breaks available under the WKR. By smartly exchanging gross salary for benefits, employees pay less tax, and employers save on social contributions, a win-win.

Future-proof your benefits with an employee benefits platform

A flexible employee benefits platform allows you to offer a package that’s diverse, personalised, and adaptable to the changing needs of your workforce. It increases employee satisfaction and engagement while helping you stay competitive and future-proof.

Ready to see how a flexible employee benefits can transform your workplace? Download our guide to flexible benefits.

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