To ask how do you do handles is kinda like asking how do you make a knife. The answer is "it depends", right? It depends what size the knife is, what it will be used for, who will be using it, what other gear the user is carrying, in what environments will it be used, and other variables. If I am making a spec knife, that is a knife not already assigned to a client, I make the handle to fit MY hand while taking into consideration many of the variables I predict will be important to the style knife it is. If it is a build for a client I will ask those questions of them. I have a customer overseas that can't stop by my shop, so I had him send me a picture of his hand against a cutting mat with a 1" grid so I could estimate the proper size for HIS hands. Luckily, his hands are roughly the same size as mine so my hands were a good stand in for his. But I try to get the users preferences.
If I am making a small hunter, etc. I will try to go slim/sleek on the handle. If it is a big chopper I'm thinking leave some meat on it. Many times a fairly meaty handle will melt into your hand and feel very comfortable if it is properly sculpted. Some people leave handles a bit blocky at the corners and that can feel fat in the hand, as well as causing hot spots. As has been said, you can always take more off. Putting it back is a little harder. Handles for knives that are likely to be used in a variety of grips should be comfortable in extended use for those different grips, like a scandi knife. If you are making a competition cutter you probably won't be using it in a reverse or edge up grip much so you might want a handle shape that hugs the hand in a chopping grip with a nice flared butt. At the same time you may want to consider the design of the knife and any accessories that go with it as those considerations will color your decisions on shape, length, cross section etc.
I usually start with a paper sketch to work out the design or attitude of the handle then clean up the lines and adjust for proper proportion in the computer. That way I can print out the drawing and compare to my hand, make adjustments and repeat as necessary until I am happy with the shape and proportions. That becomes my template.
I consider a handle properly shaped when the lines flow as I intend them to and the proportions and cross section feel right in my hand. Feel free to peruse my IG page as there are quite a few posts that detail how I shape my handles. In the finishing stages, a couple of strokes with the file may not feel significantly different in your hand but can make a big difference visually as far as how gracefully lines transition and flow. Trust your eyes and hands. They can detect minute differences. Spend the necessary time at each stage fondling the handle and assessing the data being collected by your hands and eyes. I don't go by specific dimensions but I bet if I compared a lot of my handles of similar styles they'd be pretty close in dimension.