Financial Pillars: The New Frontier of Employee Wellbeing

Money is intrinsically linked to mental health and bad financial situations can often deepen mental health difficulties. While money can’t buy happiness, 39% of people with mental health problems said their financial situation actively worsened their mental health (Money and Mental Health Policy Institute, 2021).

Kingston Hospital NHS Foundation Trust recognises this close link between financial health and mental wellbeing with the inclusion of a financial pillar in their wellbeing programme. And the team here at Anderson Financial Management has worked closely with the Trust since 2017 to support this important element of employee wellbeing.

In 2020, the outbreak of COVID-19 and the onset of “COVID exhaustion” in NHS staff led the Trust to dramatically rethink their strategy (People Management, 2021), to put their employees firmly in the centre of decision-making. This new structure has grown into a four- pronged approach, including family, physical, mental and financial health pillars.

The inclusion of a financial health pillar is crucial to help team members better understand their finances and relieve some of the pressure they may feel because of it. Andersons seeks to help NHS staff on this journey, particularly as we work towards a post-pandemic world.

A staff-centric wellbeing strategy

With busy working schedules and juggling home lives, it is understandable that NHS staff struggle to find time to understand their financial situations. Including the generous but often confusing NHS pension schemes.?

We provide an inclusive 1-1 service for all NHS staff members in the Trust who wish to receive no obligation advice for their financial situation. Across Bands 1 to 9, and at any point in their lives. Be that at the beginning of their career or those actively planning for retirement.

The level of service provided to an employee is guided by them. Ranging from a 10-minute introductory overview call of their finances to a full onboarding for more in-depth financial advice. These initial conversations cover a variety of topics including, but not limited to, annual and lifetime pension allowances, saving for a rainy day, retirement planning, tax queries, income protection, and general financial planning.

Our approach

Andersons’ personalised approach ensures that each staff member receives targeted and tailored advice about their specific financial situation. We do this by initially covering a selection of financial routes to explore before refining solutions to meet their suitability and?employee preference. Only then can we begin to formulate a personalised plan and offer specialised financial advice.

We continually provide aggregated feedback to the Kingston Hospital NHS Foundation Trust, about the services we offer their staff. This ensures that both the Trust and Andersons are proactive in increasing employee engagement and awareness of the service.

Providing financial education and reassurance

For those who didn’t benefit from financial advice through their formative years to early adulthood, either via education or a parent or guardian it is easy to feel overwhelmed, especially given the breadth of financial options available.

NHS staff also have the added complication of the NHS pension. Though considered excellent value and generous, it is notoriously complex. Even for the most financially literate. Its three iterations (the 1995, 2008, and 2015 schemes) each have a multitude of different benefits and features, including access ages, yearly and lifetime allowances, and rates of benefit accrual.

Having an outlet in which to talk freely and without judgement about money is hugely beneficial. Particularly so for those in high-stress jobs, such as NHS staff.

A shift in perspective

Like many of us during the pandemic, this past year has allowed for more reflection and time to revaluate what is most important in life. We have noticed a change in the types of conversations we have with NHS staff, especially those who worked on the front line during the various waves.

Many are now considering bringing forward their retirement date, how to finance that once-in-a-lifetime trip, managing their surplus of savings or having the unfortunate situation of navigating finances in light of losing a loved one.

We’re very proud to support the Kingston Hospital NHS Foundation Trust with their wellbeing programme and provide their financial pillar. The inclusion of a financial pillar in a wider ESG strategy is an approach every company should really consider, given the impact finances have on our mental health and wider quality of life.

We are currently in the process of rolling out the service to further NHS hospitals in London and look forward to the continued expansion of the programme. If you are interested in how this service could be adopted by your Trust, hospital or business, please get in touch to discuss further.

Anderson Financial Management Ltd is an Appointed Representative of and represents only St. James's Place Wealth Management (which is authorised and regulated by the Financial Conduct Authority).??