From S20 FE to S23, i am surely you can see a lot of new or nice features which are going to impress you for sure. This is one of the best choice you made i believe where you pick S23 instead of S22 this year (not to say S22 is not good, but since the price gap is actually not much different to me).
For Samsung Watch, i do not own it because of the word 'battery life'. But if you like Samsung ecosystem and you do use most of the features from the watch daily or weekly basis, why not give it a try? Lol. But if you don't use those features from the watch, then i think it is not worth to invest on it. Save more and longer a bit for a tablet (tab S9 maybe, lol).
Decision is still up to you. Always plan it smartly before invest on something or else regret it later. Shop smart.
Btw, enjoy your new gadget.
Have a nice day!