Through the past few years, financial wellness has exploded in popularity. As an offered benefit, it helps employees by addressing a huge personal concern. They will therefore be less distracted throughout the day. This in turn boosts engagement and productivity.
Employees often are concerned about their available financial benefits. In fact, 69% of employees prioritize their financial health above all else, while 61% are concerned they won’t save enough money for retirement. This may be from a lack of options. Or, some employees may just be unaware of what’s out there.
These issues can be solved with quality communication and strategic messaging. Because the benefits can be enormous, financial wellness should be a vital part of your total rewards program.
They Offer Valuable Planning and Advisory Services
Many employees merely do not know how to properly plan their finances. This isn’t from a lack of care or willingness to learn. They want the help.
One of the largest benefits of financial wellness programs is the advisory services. It helps employees set goals, and aids them in achieving them faster. Proper goal setting can even bleed into their regular workday.
Employees learn important skills to make better real time decisions. By establishing a coherent retirement plan, they also set long term goals. These are important skills for anyone to have, employees or not.
It can also save time and effort. Robo advisory services can automate the process, forgoing the need for human effort. This also allows employees to engage in their own unique ways, at a time convenient for them.
You Help Employees Address a Top Stressor
Personal finance can be very stressful because it’s so unknown. A robust wellness program can help people prepare for unforeseen events. If it happens anyways, this will also assist them in solving their problems in the best way possible.
For example, saving money for their children’s education won’t compromise other important financial elements. They will also have savings to address high medical expenses or job security concerns.
A total rewards program can help ease these fears and encourage new hires and applicants seeking assurances like these. More tenured staff will also have higher retention as well. This leads to a happier and better engaged workplace.
It Improves Productivity and Mental Wellness
While financial wellness allays employee fears about debt repayment and helps them manage their budgets more effectively, it also enhances productivity and leads to stronger mindsets among workers. The less your employees have to worry about how they’re going to pay bills, settle outstanding debts or save for future major events, the more focused they will be at work.
Total rewards strategy seeks to inform. Employees should be knowledgeable of all their benefits offerings, and the value that their company places on them. The most successful total rewards programs help them understand you’re looking out for their best interests. And if you don’t address this, they will seek out organizations that show that kind of personal touch.
Around 72% of employers implement financial wellness to facilitate better employee engagement, while employees feel they are 38% more engaged when they know that organizations look out for them in such a manner. Not to mention that COVID-19 and the uncertain economic climate have necessitated financial wellness across the board. It’s a worthwhile investment for all parties involved.