Are You Promoting Financial Wellness Among Your Employees?May 25, 2017 10:11 am
In a recent study conducted by PwC around employee financial wellness, 30% of employees surveyed reported that issues with their personal finances have led them to being distracted at work. Of the distracted workers, 46% say that they spend at least three hours or more each week thinking about or dealing with issues related to their personal finances. This survey is one of many that highlight the negative impact of personal financial stress in the workplace.
Employers make substantial investments in health and retirement benefits but often overlook how poor financial well-being can influence their employees’ productivity, engagement, and loyalty to the company. Financial stress can also lead to a decline in one’s health as well as absenteeism. By providing employees with the knowledge and tools to make sound financial decisions as part of your comprehensive benefits package, you are creating a workplace culture that encourages not only for healthier and happier employees, but also higher performing ones.
Where should you begin?
I recommend reaching out to your employees to see what financial topics they would benefit most from learning about. Companies have different demographics so you will want to ensure that you are providing education on topics applicable to them. Top financial concerns for millennials include cash/debt management, paying off student loans and purchasing their first home while baby boomers are worried about outliving their retirement nest egg, medical expenses in retirement and leaving a legacy to their children. Understanding employee needs and goals allows you to provide education on topics that really do benefit your workforce.
Once you’ve gathered the information needed to determine the topics of education that you would like to provide, you can plan on how you would like the information to be delivered to your employees. Depending on the demographic, small concentrated working groups might be beneficial as opposed to online webinars that are more suitable if a large portion of your workforce works remotely or in various locations across the country.
Check with Your Plan Sponsor
If you offer a retirement plan as part of your benefits package, I would inquire as to whether or not your plan sponsor offers participant education as part of their ongoing services. Your retirement plan sponsor may offer education in the form of workshops or seminars-so it is important to utilize them if you aren’t doing so already.
If you feel that you could benefit from further education to help secure financial stability, reach out to your Human Resources department and see if they would be willing to incorporate a financial wellness program as part of their overall benefits package. Your inquiry might be the jumpstart they need to get the ball rolling.
The information contained in this post is not intended as investment, tax or legal advice. StrategicPoint Investment Advisors assumes no responsibility for any action or inaction resulting from the contents herein. Megan’s opinions and comments expressed on this site are her own and may not accurately reflect those of the firm. Third party content does not reflect the view of the firm and is not reviewed for completeness or accuracy. It is provided for ease of reference.