Are You Taking Advantage of Everything Your Employer Offers?

Often times when we start a new job we complete many forms in the first few days/weeks related to the employee benefits offered by our new employer, such as, Savings Plan contributions, Medical Insurance Plans, Group Life Insurance, etc.  As a financial planner (and someone who recently started a new job!), I am aware of the quick decisions that need to be made and the complexity of those decisions.  Most people approach these decisions with a “set it and forget it” attitude but you can save a lot of money and heartache by reviewing the available options on a yearly basis.  Some of the key decisions are:

1.     401k/403b contributions – Are you contributing the $17,500 max for 2013? If you are 50 or older in 2013, then the max is $23,000.  Are you taking full advantage of the company match?

2.     Deferred Compensation – Are you eligible? Does your employer offer a match?  Have you reviewed the payout elections? What are the risks?

3.     Medical Insurance – Do you have the best plan for yourself and your family?  If you have a high deductible health plan, are you contributing to a Health Savings Account?

4.     Flex Spending Account – the limit for 2013 is $2,500

5.     Flex Spending for Dependent Care – the limit for 2013 is $6,000

6.     Life Insurance – Should you increase the amount?

7.     Disability or Long-Term care Insurance – Does your employer offer it?

8.     Excess Liability Insurance – Does your employer offer it?

These are just a handful of the important decisions we can assist with to ensure you understand each available option and potentially save you money next April.