Seven Tips for Conquering Open Enrollment

Open enrollment season is here again – that important period when you get to choose your benefits for the next year. While it may not be the most exciting task on your list, making smart decisions now can save you money and help you get better care when you need it most.

Think of open enrollment as your chance to build the perfect safety net for you and your family. With the right approach, you can choose a benefits package that protects your health and your wallet. Here are seven tips for making open enrollment season as low-stress and successful as possible.

#1: Start Early and Stay Organized

One of the biggest mistakes people make is waiting until the last minute to review their benefits. Open enrollment periods are usually short – often just a few weeks – and rushing through important decisions can lead to costly mistakes.

Write down important dates as soon as you get your enrollment materials. Set aside dedicated time to look over your options when you can focus without distractions. Starting early gives you time to research, ask questions, and make thoughtful choices.

#2: Look At Your Current Situation

Before looking at new options, take a moment to think about how your current benefits worked this year.

• What did you like about your coverage?
• Were there any gaps or surprises?
• Did you use all the benefits you paid for?

Also think about any changes in your life since last year. Major life events, such as marriage, divorce, having a baby, or changes in your health, can significantly impact which benefits you choose. Your needs may be different this year than they were in the past.

#3: Make Smart Health Insurance Choices

Health insurance is typically your largest benefit expense, so it deserves careful attention. Don’t just look at monthly premiums! Add up your total yearly costs, including deductibles, copays, and out-of-pocket limits.

Choosing a plan based on premium cost alone may not be the best decision. If you get to choose between a lower-premium, high-deductible health plan and a higher-premium plan with co-pays for commonly used healthcare services, think about which one best suits the needs of your family.

For example, if you’re generally healthy and don’t visit the doctor often, a high-deductible health plan with a Health Savings Account (HSA) could be a great option. HSAs offer triple tax benefits:

• Your contributions reduce your taxable income
• The unused money in your HSA account grows tax-free through interest income and investing, and
• You can withdraw funds tax-free in any amount at any time to pay qualified medical expenses

However, if you have ongoing health needs or take regular medications, a plan with higher monthly premiums but lower costs when you access care (such as going to the doctor or getting a prescription filled) may save you money overall.

Many insurance companies offer online tools to help estimate your total annual costs.

#4: Don’t Forget the Supporting Benefits

While health insurance gets most of the attention, other benefits matter too. Dental insurance might seem optional until you need major work. Vision coverage can save you hundreds on glasses or contacts each year.

Life insurance through your employer is often more affordable than buying coverage on your own. Disability insurance is another valuable benefit that many people overlook. If an illness or injury prevented you from working, disability coverage could help replace a portion of your income.

#5: Maximize Your Tax-Advantaged Savings

Open enrollment is also your opportunity to set up tax-advantaged accounts that can save you money.

Flexible Spending Accounts (FSAs) let you pay for qualified medical expenses with pre-tax dollars, reducing your taxable income. And unlike an HSA, you don’t need a special health plan to use one. The amount you can set aside each year in an FSA account is set by the IRS; for 2025, it was $3,300.

For families paying for childcare or caring for elderly relatives, Dependent Care FSAs can provide significant tax savings by letting you pay for day care, summer day camp, and before- and after-school care with pre-tax dollars. Like healthcare FSAs, the amount you can set aside each year is set by the IRS. For 2025, it was $5,000, but for 2026, it will increase to $7,500.

#6: Use the Help That’s Available

You don’t have to navigate open enrollment alone. Most employers provide helpful resources, such as benefits fairs, information sessions, and online tools. Many companies also offer one-on-one consultations with benefits specialists.

Don’t hesitate to ask HR questions about anything that’s unclear. Whether you want to understand network coverage, prescription costs, or how different scenarios might affect your expenses, asking questions now can prevent unpleasant surprises later.

Beneliance clients and their employees have access to numerous tools and resources on our website, including The Adventures of Captain Contributor benefits education program.

#7: There Really Isn’t a “One Size Fits All” Plan

Remember that there’s no one-size-fits-all approach to benefits. The best package for you depends on your health needs, family situation, and financial goals. A single person in their twenties will have different priorities than a parent of three or someone nearing retirement.

Consider both your current needs and what might change during the year. If you’re planning to start a family, you’ll want strong maternity coverage. If you’re managing a chronic condition, prescription drug coverage might be your top priority.

Conquering Open Enrollment: Final Thoughts

Open enrollment is your annual opportunity to create a benefits package that truly works for your life. While it requires some time and attention, making informed decisions can provide significant financial protection and peace of mind.

Take the process seriously, but don’t let it overwhelm you. With proper planning and the right resources, you can build coverage that protects your health, supports your family, and fits your budget. The decisions you make now will impact your financial well-being throughout the entire year, making this time investment well worth it.

Beneliance has been serving employers and their hard-working employees with FSA, HSA, HRA, and COBRA, and administration since 1996.