The Human Advantage Series | Income Protection 101: What Every High Earner Should Set Up Now

This is a recap of Episode 9 of The Human Advantage, Caeli's interview series on the future of work and building organizations that support the people inside them.

Before this conversation, I had never heard the term "income protection." I knew about paying off debt and keeping an emergency fund. But I'd never really asked myself what would happen if I got sick and couldn't work for a year. Honestly, sitting down with my own numbers has always felt a little scary.

Plenty of people are in the same spot, including people who earn well. 43% of workers earning $100,000 or more live paycheck to paycheck, according to CNBC.

So I sat down with Sandy Osei, founder of Oasis Finance. Sandy is a financial coach for ambitious, high-earning women, and she's also a nurse. She walked me through her framework for building money that holds up when life doesn't:

Protect, Grow, Legacy.

Why income protection comes first

Sandy started this work after a close friend, a new mom, was diagnosed with breast cancer. She had a double mastectomy and couldn't work for months, and her employer couldn't hold her job. She got through it on help from friends, family and her community.

What Sandy took away from it:

• It can happen to anyone. Illness doesn't check your salary first.
• Nobody teaches this part. We learn how to make money, not how to protect it.
• Six months may not be enough. A cancer diagnosis, a heart attack or end stage renal disease can mean being out of work far longer than an emergency fund covers.
• Money stress affects recovery. As a nurse, Sandy has seen patients delay treatment because they were worried about their bills.
• The time to plan is now, while you're healthy and working.

Protect: build your foundation

Sandy's first question: if your income stopped tomorrow, how long could you keep up the life you're used to?

• Save six months of expenses. That's her minimum emergency fund.
• Let it earn something. A CD or a high-yield savings account beats a regular savings account. The interest isn't huge, but it's better than nothing.
• Find the money, even when you feel stretched. Her answer to "I can't afford to save" is that you can't afford not to. She starts every client with money in versus money out.
• Cut the leaks, not the joy. Unused subscriptions and frequent eating out are the usual culprits. A matcha now and then is fine. Life is too short not to enjoy it.
• Check the benefits you already have. This one's mine. Depending on your plan, your EAP may include backup childcare, mental health support or help with a basic will. Add a 401(k) match and an HSA or FSA, and that's money you've already earned. Here's why your EAP is worth looking up.
• Spend your FSA fast after a layoff. You generally lose access when your job ends (here's how it works). Caeli flags eligible items as you shop and puts them on your FSA card at checkout.

Grow: give every dollar a job

Once the foundation is set, Sandy wants your money working, not sitting in an account that pays almost nothing.

• Use tax advantages. Part of growing is paying less tax on what you build.
• Have both a Roth and a traditional account. Sandy does. A Roth uses after-tax money, so what you take out in retirement is tax free.
• Know your Roth limit. If you earn six figures, your ability to contribute to a Roth IRA phases out between $153,000 and $168,000 for single filers in 2026.
• Keep it simple with index funds. They spread your money across many companies with less risk than picking individual stocks.
• Review regularly. Know what's in your retirement accounts and check that your investments still match your goals.

Legacy: leave something other than debt

I love that legacy is part of Sandy's framework, because it's so often treated as abstract. Plenty of people don't even have a basic will.

• Look at life insurance with a living benefit. Sandy's main tool here is an indexed universal life insurance policy (IUL), a type of permanent life insurance that builds cash value over time.
  • With some policies, a critical illness diagnosis like cancer, heart attack, stroke or end stage renal disease lets you access part of the policy while you're alive.
  • The same can apply if an accident leaves you unable to handle daily activities.
  • That money replaces your income while you can't work, and what's left still goes to your family.
• Start saving for your kids early. Even two or five dollars a day adds up.
  • 529 plans: earnings grow tax free for qualified education costs. Sandy's concern is that a 529 can reduce the financial aid a student qualifies for.
  • IULs for kids: started cheaply when a child is young, they build cash value that can later go to college, a business or anything else.
• Don't name a minor as a beneficiary. Insurers generally can't pay a child under 18 directly, which can mean court involvement and delays. Set up a trust instead.

IULs come with fees and moving parts, and terms vary by insurer, so compare your options with a licensed professional.

Building income on the side

• It may cost less than you think. Sandy's business started with about $150, the cost of getting licensed as a financial professional in Ohio.
• The mindset is the hard part. An employee clocks in and out. An entrepreneur owns the outcome.
• Lead with impact. If you're focused on helping your community, Sandy says, the income comes as a bonus.
• Keep your job while you build. She's almost two years into Oasis Finance and still practices nursing on the side.

Rapid Fire

• Coast FIRE or full FIRE? Coast FIRE. Financial independence should give you choices, not more pressure.
• Robo-advisor or DIY? A robo-advisor for simplicity, DIY if you know investing, and an advisor if it feels too complicated.
• Pay off the mortgage or invest? It depends on your rate, savings and risk comfort. If you invest, keep it lower risk.
• Roth or traditional? Both. Why not?
• Index funds or individual stocks? Index funds. (I'm an index fund girly myself.)
• Rent or buy? If you have the money, buy.
• High-yield savings or money market fund? High-yield savings to start. Money market funds generally aren't FDIC insured.

The takeaway

I went into this conversation not knowing what income protection was and came out with a to-do list. Earning well and being protected aren't the same thing. Protect your income first, give every dollar a job, and build something that outlasts you, starting while you're healthy and working.

Taking care of the people who depend on you starts with taking care of yourself. That's the human advantage.

Caeli Pro-Tip: Your FSA and HSA are money you've already set aside. Caeli flags eligible items as you shop and puts them on your benefits card at checkout, so pre-tax dollars don't go to waste, whether it's December or your last week at a job. Install Caeli.

Connect with Sandy Osei on her website, LinkedIn, Instagram and Facebook.

For education only. Not tax, legal, insurance or financial advice.