How Can You Make the Most of Open Enrollment?
Every fall, a stack of benefits paperwork lands on your desk — or an email tells you the enrollment window is open — and it's tempting to just re-elect last year's choices and move on. But open enrollment is one of the few times all year you can change decisions that quietly shape your finances: your health plan, how much you set aside tax-free, your retirement contributions, and the insurance that protects your family. A few minutes of attention now can save real money and close gaps you didn't know you had.
As a fee-only fiduciary advisor in Columbus, Ohio, I help busy professionals treat open enrollment as a planning opportunity rather than a form to rush through — and make sure these workplace benefits fit the rest of their financial plan.
Quick Answer
To make the most of open enrollment, review six things before the deadline: your health plan (does it still fit how you use care?), whether an HSA or FSA makes sense, your 401(k) contribution and employer match, your life and disability insurance, any dependent care or other pre-tax accounts, and the enrollment deadline itself. These are decisions you usually can't change until next year, so it's worth a deliberate look rather than defaulting to last year's elections.
Key Takeaways
- Open enrollment is often the only time all year you can change these benefits.
- Don't just auto-renew — your plan and your life may have changed.
- An HSA (with a qualifying high-deductible plan) is a powerful long-term, triple-tax-advantaged account.
- Always contribute at least enough to get the full 401(k) match — it's free money.
- FSA funds are often use-it-or-lose-it, so elect carefully.
- Review life and disability insurance — gaps here are common and costly.
Table of Contents
- Why open enrollment matters more than people think
- Reviewing your health plan
- HSA vs. FSA: what's the difference?
- Don't leave the 401(k) match on the table
- Life and disability insurance
- Dependent care and other pre-tax accounts
- Watch the deadline
- How I help
- FAQs
Why Does Open Enrollment Matter More Than People Think?
The biggest mistake with open enrollment is treating it as a formality. Most people simply carry over last year's elections without a second thought.
The problem is that both your plan and your life change from year to year. Your employer may have adjusted premiums, deductibles, or the plans on offer. Meanwhile, you may have had a child, taken on a mortgage, changed how often you use healthcare, or gotten a raise that changes your tax picture. A plan that fit perfectly two years ago may be costing you money or leaving you underinsured today. Because most of these choices are locked in until the next enrollment window (barring a qualifying life event), the few minutes you spend reviewing them now have outsized value.
How Should You Review Your Health Plan?
Start with the decision that affects you most often: your health insurance.
The question isn't just "which plan is cheapest?" — it's "which plan costs the least for the way I actually use care?" A low-premium, high-deductible plan can be a great deal if you're generally healthy and rarely visit the doctor, while a higher-premium plan may cost less overall if you have ongoing medical needs or a growing family. Look at the full picture: premiums, deductible, out-of-pocket maximum, whether your doctors are in-network, and what your prescriptions will cost. Estimating your likely usage for the year ahead — not last year — is the key to choosing well.
HSA vs. FSA: What's the Difference?
If your employer offers tax-advantaged accounts for healthcare costs, understanding the difference is worth real money.
| Feature | HSA | FSA |
|---|---|---|
| Requires | A qualifying high-deductible health plan | Most employer health plans |
| Funds roll over? | Yes — indefinitely | Often use-it-or-lose-it (limited carryover) |
| Can you invest it? | Usually yes | No |
| Portable if you leave? | Yes, it's yours | Generally no |
| Best used as | A long-term, triple-tax-advantaged account | Covering known, near-term expenses |
The HSA is the standout. If you're enrolled in a qualifying high-deductible plan, an HSA offers a rare triple tax advantage — pre-tax contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses — and the balance is yours to keep and invest for the long run. A health FSA, by contrast, is useful for covering predictable expenses in the coming year, but you typically have to use the money or lose it, so elect an amount you're confident you'll spend.
Why Shouldn't You Leave the 401(k) Match on the Table?
Open enrollment is also a natural time to check your retirement contributions — and the single most important thing is the employer match.
If your employer matches a percentage of your contributions, failing to contribute at least enough to capture the full match is leaving free money on the table — an immediate, guaranteed return on your savings. Beyond the match, open enrollment is a good moment to ask whether you can increase your contribution rate (especially after a raise), and whether you're using the pre-tax or Roth option in a way that fits your tax situation. Small increases now compound into significant amounts by retirement.
Should You Review Your Life and Disability Insurance?
This is the benefit people most often overlook, and the gaps can be the most costly.
Many employers offer group life and disability insurance, sometimes with a base amount provided free and the option to buy more. It's worth asking two questions: Do I have enough coverage for my family's needs? And what happens if I change jobs? Group coverage is convenient and often affordable, but it usually isn't portable — if you leave, it typically doesn't go with you. Disability insurance, in particular, is underappreciated: your ability to earn an income is one of your most valuable assets, and group long-term disability coverage can protect it. Open enrollment is the time to confirm you're adequately covered and to consider whether you need additional, portable coverage outside of work.
What About Dependent Care and Other Pre-Tax Accounts?
Depending on your employer, open enrollment may include other valuable pre-tax options worth a look.
A dependent care FSA lets you set aside pre-tax dollars for childcare or eligible adult care expenses, which can be a meaningful tax savings for working parents — though, like a health FSA, it generally comes with use-it-or-lose-it rules, so estimate carefully. Other benefits that may appear include commuter benefits, legal plans, or wellness incentives. None of these should drive your decision, but reviewing the full menu ensures you're not missing an easy tax break or a benefit you'd actually use.
Why Should You Watch the Deadline?
This one is simple but critical: open enrollment has a firm deadline, and missing it has consequences.
If you don't actively make elections by the deadline, you're typically locked into default or prior-year coverage until the next enrollment period — unless you experience a qualifying life event (like marriage, a birth, or a job change). That means a missed deadline can leave you in the wrong health plan, without an HSA or FSA election, or underinsured for a full year. Mark the date, set a reminder, and give yourself enough time to actually think through the choices rather than rushing at the last minute.
How I Help
I help busy professionals look at open enrollment as one piece of their broader financial plan rather than an isolated HR task. That means thinking through which health plan fits your situation, whether an HSA could become a long-term retirement asset, how your 401(k) contributions fit your savings goals, and whether your insurance coverage is adequate and portable.
These workplace benefits connect to everything else — your tax plan, your retirement savings, your emergency reserves, and your family's protection. My role is to help you make elections that work together, so you're capturing the value your employer offers and closing the gaps that often go unnoticed. A short conversation before the deadline can make a year's worth of difference.
FAQs
Can I change my benefits outside of open enrollment?
Usually only if you have a qualifying life event — such as marriage, divorce, the birth of a child, or a change in employment. Otherwise, your elections are generally locked in until the next open enrollment period.
Should I choose an HSA or an FSA?
If you have a qualifying high-deductible health plan, an HSA is often the better long-term choice because the funds roll over, can be invested, and are yours to keep. An FSA suits predictable near-term expenses but typically must be used within the year.
How much should I contribute to my 401(k) during open enrollment?
At minimum, enough to capture your full employer match — that's an immediate return you don't want to miss. Beyond that, increasing your contribution rate (especially after a raise) is one of the most effective ways to build retirement savings.
Do I really need the extra disability insurance?
It depends on your situation, but disability coverage protects your income — one of your most valuable assets. Group coverage is often affordable, and it's worth confirming you have enough, since gaps here can be financially serious.
What happens if I miss the open enrollment deadline?
You're generally locked into your default or prior-year elections until the next enrollment period, unless you have a qualifying life event. That's why it's important to review and submit your choices before the deadline.
Please use the below link to schedule a call with Jim.
https://calendly.com/jimblue/blue-advisors-meeting
By James Blue, Fee-Only Advisor | Blue Advisors
James Blue is the founder of Blue Advisors, a fee-only financial planning and investment management firm based in Columbus, Ohio.
This content is provided for informational and educational purposes only and should not be construed as personalized investment, tax, or legal advice. Benefit offerings, HSA/FSA rules, and contribution limits vary by employer and are set in part by the IRS; they are subject to change, so confirm the details of your specific plan and the current year's limits. The views expressed are those of the author as of the date published and are subject to change without notice. Blue Advisors is a fee-only registered investment advisory firm and does not sell insurance products. Advisory services are offered only pursuant to a written advisory agreement and to clients in the State of Ohio, the Commonwealth of Pennsylvania, and other jurisdictions where Blue Advisors is properly registered or exempt from registration. Past performance is not indicative of future results. Readers should consult with their financial advisor, tax professional, or attorney before making financial decisions.