Financial Wellness in the Workplace

Finances Are a Major Stressor

Most people need financial help and struggle to get it, let alone have a solid plan for securing their financial futures. With a plethora of financial resources available online, you may think that individual financial literacy is high. However, there remains a gap in financial literacy, as well as the level of confidence to effectively define individual financial plans and secure retirement goals. The reality is:

• 77% worry about their finances and retirement
• 71% would like financial advice but have no idea where to get it
• 82% want outside help if it were accessible, trustworthy, and affordable

Employees feel the burden of all this stress, and they want their employers to help support financial wellness, but most companies do not provide any meaningful financial literacy training. Employees, especially younger generations, also truly need financial planning benefits.

Employees Want Holistic Support

Holistic financial wellness programs have the power to establish a more satisfied, engaged, and productive workforce. At the same time, people want and expect digital end-to-end solutions to what used to be a ‘human-only, white-glove model’ for financial education and advice. An advice model that does not scale.

The digital era has changed financial wellness to the point where more people are seeking comprehensive solutions from financial service organizations, and their employers. The financial services industry also has experienced a tectonic shift in how financial planning can engage a whole new generation of investors and planners.

Financial service organizations and employers have an opportunity to take the lead and help employees better understand financial planning by delivering a holistic approach to financial wellness as an ongoing benefit with financial planning technology and ongoing educational programs. The impact and cost of inaction in the workplace can be high.

• 57% of employees say they are stressed about their financial wellness
• 54% say they will have to delay retirement due to inadequate savings.

Financial Planning for a Person’s Entire Life

There are layers of opportunities for coaching, education, and advice for financial wellness.

Financial Wellness as a Benefit

Many employers have seen how financial distress reduces worker productivity, increases absenteeism, and undermines employees’ health. Forward-looking employers have begun to take action, adopting creative approaches to enhance employee financial well-being.

Financial Wellness Improves Engagement

When employers provide financial wellness as an employee benefit they can reduce turnover, improve morale, and increase workforce productivity. Providing financial benefits shows employees that the organization cares about them as individuals, inspiring loyalty and motivation. When employees feel their employers care about their health and well-being, they are much more engaged. Investing in financial wellness also boosts the overall wellbeing of employees, increasing their health, productivity, and engagement. People do want to plan better, learn more, and get the financial help they need to feel confident in achieving their personal goals. There has never been a more important time for enterprises to take action and deliver a meaningful financial wellness solution, where everyone benefits.

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