How to Make the Most of Open Enrollment This Year

If you’re signing up for employer-provided benefits, don’t just repeat last year’s choices. Your needs, your goals, and your life have likely evolved, and your benefits should reflect that.

It’s late fall, and the reminder pops up in your inbox: Open Enrollment is now live.

You click the link and find yourself staring at screens full of acronyms: PPO, HSA, FSA, and plan summaries that all start to blur together. Between work deadlines, kids’ activities, and everyday life, the easiest option is to click “Keep last year’s choices.”

Sound familiar? You’re not alone.

Here's the thing: those choices directly affect your paycheck, your savings, and your long-term financial picture. Open enrollment isn’t just a workplace task, it’s an opportunity to make your money work smarter for you.

Step 1: Start With Where You Are

Before even looking at your benefits guide, take a step back. What has changed since last year?

Maybe you’ve added a new family member, switched prescriptions, or started thinking more seriously about saving for retirement or college. These changes all impact what kind of coverage and benefits make sense for you.

Making the right choices now can help set you up for stronger financial security later.

Step 2: Review What’s Changed at Work

Employers update benefits each year, sometimes in subtle ways. Premiums might be higher, new options may have been added, or your employer’s 401(k) match might have changed.

Even small adjustments can make a real difference in how much you spend or save each year.

Reviewing those details with your overall financial plan in mind ensures you’re not leaving money on the table.

Step 3: Revisit Your Health Coverage

Healthcare is often the biggest and most confusing decision during open enrollment.

If you’re generally healthy and have some savings, a high-deductible health plan (HDHP) paired with a Health Savings Account (HSA) might be worth exploring. HSAs offer powerful tax advantages and can double as a long-term investment vehicle for future medical expenses, even in retirement.

If you have ongoing healthcare needs, a more traditional plan with higher premiums but lower out-of-pocket costs might be the smarter financial choice. The key is finding the right balance between cost, coverage, and flexibility.

Step 4: Take Advantage of FSAs or HSAs

FSAs and HSAs allow you to set aside pre-tax dollars for medical expenses, helping reduce your taxable income.

An FSA is best for predictable annual expenses like prescriptions or child medical costs, while an HSA can serve as a savings and investment tool that grows tax-free over time.

These accounts aren’t just about healthcare, they’re part of your overall tax and savings strategy.

Making intentional decisions here can free up cash for other financial priorities.

Step 5: Don’t Overlook the “What Ifs”

Disability and life insurance are benefits few people think about until they need them, but they’re crucial parts of a solid financial foundation.

If your family relies on your income, make sure your coverage would truly protect them if something unexpected happened. Often, employer-provided coverage is a good start but may not be enough on its own.

Step 6: Explore Hidden Benefits

Your employer might also offer programs that align with your bigger goals; from dependent-care FSAs and commuter benefits to student loan repayment or financial wellness resources. These are easy to overlook but can add meaningful financial value over time.

Bringing It All Together

Open enrollment might only come once a year, but the impact of your choices lasts far longer.

This is where financial planning meets real life. Each decision, from your health plan to your 401(k) contributions, connects to your overall financial picture. When you look at your benefits through that lens, it’s easier to make choices that support your goals, not just your next paycheck.

And you don’t have to figure it out alone. Every year, I help clients review their open enrollment options, understand how each decision affects their taxes and savings, and make confident choices that align with their broader financial plan.

If you’d like help reviewing your benefits this year, let’s schedule a time to talk. Together, we’ll make sure your open enrollment decisions are working for you and your future.