Employee Benefit News for School, City and County Employers

Enhance Employee Engagement and Satisfaction with Financial Wellness Programs

Written by Erin Woulfe | Nov 9, 2023 1:43:06 PM

1.5 minute read

Employers are starting to recognize that employee well-being is important to achieving long-term success. Financial wellness programs have become a valuable tool for employers to support their workforce and enhance employee satisfaction and engagement.

Financial knowledge and competency levels may vary in a diverse workplace. Programs that aid employees in their financial wellness can help them with related difficulties.

 

Financial Wellness Programs

These programs are aimed to help combat employee stress around financial matters. They can help with money management or reduce financial burdens. Financial wellness programs may include these components:

  • Debt management
  • Retirement planning
  • Credit management
  • Investments
  • Taxes
  • insurance

Resources may include personal financial coaching, online education, credit resources, or budgeting tools. Employers may also offer an Employee Assistance Program (EAP) that include financial wellness services.

 

Why Financial Wellness Programs Matter

According to a 2023 Bank of America (BOA) report, 42% of employees rate their financial wellness as good, which was an all-time low. Less employees are prioritizing their retirement and saving for future health care costs. Instead, they are paying off debt, saving for unexpected expenses, and managing caregiving costs.

The BOA report also reported that only 2 out of 5 employers are currently offering financial wellness programs. This is an opportunity for employers to step up and help boost their workforce’s overall wellness and financial education.

 

Employer Program Benefits

Providing financial wellness programs also give employers a boost. These programs can:

  • Reduce absenteeism
  • Help reduce employee stress
  • Increase employee attraction and retention
  • Improve employee well-being
  • Boost employee productivity

 

Summary

Employers are beginning to see that adding a comprehensive financial wellness program to their employee benefits package is a step towards building a happier and healthier workplace for all. Download the bulletin for more details.