Open enrollment season is fast approaching, which means it’s time to review and choose your employer benefits for the year ahead. While it might not sound exciting, open enrollment represents one of the biggest opportunities to strengthen your overall financial well-being — and many employees overlook its potential. Depending on your employer benefits you can get help from health care, childcare, and retirement. The dollar value of these benefits can add up.

Click Here for Issues to Consider with Employer-Provided Benefits

Health Insurance

Health insurance is often the most significant and helpful benefit that most employers offer, and it’s also usually the most confusing. If you’re lucky, you’ll have many choices between different plans and maybe even different insurers, giving you plenty of opportunities to choose the right plan for your family’s needs. But with that opportunity comes the responsibility of understanding the differences between those choices, which is no easy task. So how do you sort through it all? First, don’t assume that the health insurance you chose last year is automatically, or likely, the best choice this year.

Health savings account (HSA)

If you’re enrolled in a qualifying high-deductible health plan (HDHP), you may be eligible to contribute to a Health Savings Account (HSA) — a triple tax-advantaged savings vehicle.

Key benefits include:

• Contributions are tax-deductible, and withdrawals for qualified medical expenses are tax-free.

• Funds roll over from year to year — there’s no “use-it-or-lose-it” rule.

• HSAs can double as long-term investment and retirement accounts.

• Employers often contribute to employee HSAs, adding even more value.

2026 HSA contribution limits (announced by the IRS):

• $4,400 for individuals

• $8,750 for families

Healthcare Flexible Spending Account (FSA)

A healthcare flexible spending account (FSA) is similar to a health savings account. The money you contribute is tax-deductible and can be withdrawn tax-free for qualified medical expenses. The most significant difference is that a healthcare FSA is “use-it-or-lose-it.” Your employer is permitted to allow you to roll over up to $640 from your 2025 FSA into 2026.

Dependent Care Flexible Spending Account (FSA)

If you have young children, the Dependent Care FSA can be a major money-saver.
Contributions are made pre-tax, and funds can be withdrawn tax-free for qualified childcare expenses — including daycare, preschool, and after-school programs.

This benefit is often overlooked but can provide meaningful relief to working families in both 2025 and 2026.

Employer Retirement Options

Open enrollment is a good opportunity to make sure that you’re taking full advantage of the retirement plans that are available. Here are some key questions to ask as you look through the information you’re given:

• What types of retirement plans are available to you? Is there a 401(k)? A 403(b)? A pension plan? An ESPP (Employee Stock Purchase Plan)? Something else? Different plans have different strengths and weaknesses, and simply knowing what you have is the first step toward maximizing them.
• Is there an employer match? If so, what is the policy, and are you taking full advantage of it? That match is likely the best return you’ll find anywhere, so it’s worth contributing enough to get it if you can.

For employers, you can learn more about employer-sponsored retirement plans here or on our small business owners page.

Life Insurance

Many companies offer a base level of life insurance at no cost, with the option to buy more if you’d like. However, employees commonly misunderstand that they can take company-sponsored insurance coverage with them when they leave a job. Unfortunately, the group life insurance policy is typically not portable, leaving employees lacking quality life insurance protection.

The employee owns an individual life insurance policy, which can be purchased from various carriers. Meanwhile, group life insurance is a single-carrier policy owned by the employer, and the employee is only covered under a certificate. Typically, employers will purchase a small amount of group life insurance for the employee, for example, $50,000 and allow the employee to purchase additional group life insurance. Depending on your needs, this coverage could be inadequate. 

There may also be coverage limitations on the additional group life insurance purchased, such as a $300,000 limit or spousal coverage limits, which may restrict spouses to purchasing only 50% of the employee’s coverage. This would likely be inadequate for a family of four with two school-age children as they may need $1 million in coverage for each parent. 

Click Here for Issues to Consider when Reviewing Existing Life Insurance

Other benefits to keep an eye out for

Those are the significant benefits you’ll have to decide on, but there are plenty of others to keep an eye on. Every employer is different, but here’s a partial list to keep an eye out for:

• Dental and Vision Insurance
• Wellness programs
• Short-term and Long-term disability insurance
• Education assistance
• Vacation time, sick time, and personal days– Make sure you know how these policies work to take full advantage of them when they arise.
  

Have you recently left a job and have leftover PTO? Defer Your Unused Vacation Pay into Your Employer Retirement Plan!

Make the most of open enrollment.

Open enrollment is often overlooked, but it’s a great way to find cost-effective protection and significant savings on health care, childcare, and more. Use this time as a yearly review of your financial situation. It’s the perfect time to look at how your portfolio is performing, see if you are on track for retirement, and ask any questions you may have. Schedule a call with us - we would love to help!