5 Reasons to Review Your Employee Benefits with Your Advisor

Open enrollment season is upon us, and while many employees view this as a routine task of checking boxes and updating personal information, it's actually a golden opportunity. As a financial advisor with 19 years of experience, I've seen firsthand the significant impact that employee benefits can have on an individual's overall financial health and future planning. For my clients, this review is an automatic part of our financial planning process. But I realize that not everyone is aware of the importance of this step. Here are the top 5 reasons you should review your employee benefits with your financial advisor during open enrollment:

1. Aligning Benefits with Financial Goals: Your financial goals evolve over time. Whether you're planning for a new home, a child's education, or early retirement, your employee benefits can play a crucial role. An advisor can help ensure that your benefits, such as retirement contributions or health savings accounts, align with your current and future financial objectives.
2. Optimizing Tax Benefits: Many employee benefits come with tax advantages. From Flexible Spending Accounts (FSAs) to 401(k) contributions, there are numerous ways to reduce your taxable income. By reviewing these with an advisor, you can ensure you're maximizing these benefits and not leaving any tax savings on the table.
3. Understanding the Fine Print: Employee benefits can be complex. There might be nuances or changes in the offerings that you might miss. An advisor can help decipher the fine print, ensuring you understand the full scope and implications of each benefit.
4. Risk Management and Protection: Life is unpredictable. Benefits like life insurance, disability coverage, and health plans are essential tools in managing potential risks. An advisor can provide insights into the adequacy of your coverage, ensuring that you and your family are well-protected against unforeseen events.
5. The Big Picture: Your employee benefits are a piece of your broader financial puzzle. By reviewing them with your financial advisor, you ensure that this piece fits seamlessly with others, like investments, estate planning, and more. This approach ensures that every aspect of your financial life is working in harmony.

In conclusion, open enrollment is more than just a yearly task—it's an opportunity. An opportunity to reassess, realign, and optimize your financial strategy. For those who are my clients, rest assured that we'll be diving deep into this as part of our process. For others, I cannot stress enough the value of leveraging this time with your financial advisor. Your future self will thank you.