Employee financial wellness programs can help employees find balance and control over their finances.
FREMONT, CA: What is financial wellness? Financial wellness (or financial wellbeing) refers to a person’s overall financial health and the absence of money-related stress. It’s the result of successful expense management. Financial wellness is an important part of overall employee wellbeing which consists of physical, mental, and financial wellness. Here are the top five financial wellness benefits that are most appealing to employees:
Conducting Workshops: It is a simple way to educate the employees about their personal finances. It’s also a relatively low-cost (or sometimes even free) way to create a basic financial wellness program. A company can invite regular guest speakers to run a workshop in the office on topics such as budget planning, reducing (student) debt, or savings tactics. Depending on the size of a company, the finance department can reach out to third party institutes to do a session.
Providing Employee Discount Programme: A great way to help employees hang onto more cash is to offer negotiated discounts on car and home insurance, technology and even local attractions. Some companies take this a step further with a voluntary employee purchase program, which allows people to buy household items and educational services through payroll deduction. These financial wellness activities help employees take control of their finances by setting spending limits.
Incorporating Financial Well-being into the company’s Program: To improve overall well-being, it’s quintessential to think beyond traditional fitness, nutrition, stress and sleep programs. Help employees get on the right track by offering financial challenges within the company’s well-being or engagement program. Be sure to clearly outline what they need to do and reward employees for their actions.
Building a Meritocracy: Merit-based pay—salary, benefits, vacation, bonuses, and more–, may be the best way to align the business goals with the financial goals of the company’s top performers. Because there is a positive correlation between stress and productivity, the most productive people may need a stress-relieving vacation the most.
Using Financial Wellness Tools: Naturally, there are a lot of software solutions that aim to improve the financial health of employees. These solutions can provide anything from personalised coaching and on-demand financial advising to custom training and e-learning to improve the employees’ financial knowledge.
Financial wellness benefits is a program that must be included in every organisation. There are many benefits and advantages an employee gets out of it. Structuring such a program can be time-consuming and might take effort. Furthermore, this will give a perfect example to others that an organisation has an excellent company culture. And a workforce that works with positivity.