A Search Engine Roundtable forum thread asks How much client need to know? Bruno in the thread tells us that his client is demanding the he writes everything out "and send that every morning with all explanations, tactics, examples, just everything." The two other responses say that a client doesn't really need all that information. They both explain that with trust and earning a client's trust you won't need to do that. Chris Boggs adds that you can "charge the client a premium for additional consultation."
I added my two cents to the thread by explaining that I have set it up at my company to keep the client in the loop at all times. Now, I do not do daily SEO work but the same can be applied from Web development work to SEO work. If I was to change a title tag from ABC to XYZ, I would create a ticket or as we call it "task" in our system. The client will get the email with the information on exactly what we will be doing. The changes will take place on our test server and email will go to the client to review the change and approve it before updating. All questions and comments about the task is associated in the database and tracked so that the client can get his "explanations, tactics, examples, just everything" about the specific task.
Of course this can get overwhelming, but 99% of my clients opt in for these emails. The rest, well they trust us a bit too much. :)
Forum discussion at Search Engine Roundtable Forums.