Building Financial Wellness in Your Workforce

• By: Posted by HR Alliance Staff
• On: 03/27/2025 13:32:35
• In: Wellness
• Comments: 0

A healthy and happy workforce is a productive and innovative community. A big piece of overall wellness is a feeling of financial stability. That stability is not determined by a steady paycheck alone. It encompasses a feeling of future security that includes being able to weather a job loss, pay for education, withstand a surprise healthcare expense, or simply retire.

Unfortunately, according to a study by the American Psychological Association, seven in ten employees admit to financial stress at work which translates to higher absenteeism, turnover, and poor overall health. Building financial wellness for your employees should be a key element of wellness and benefit programs.

While the financial coaching offered as part of many 401k providers is a great resource, companies need to think bigger to encompass the broad range of financial stressors faced by their workforce to provide the needed resources for a financially healthy workforce. Consider the life events that cause financial stress and design programs to help employees plan for these inevitable events.
 

• Education – The education-related worries of your workforce will range from paying off their own student loans to saving so that their children will not accrue debt – with some doing both at the same time. Providing education around loan repayment and savings options as well as access to these programs as a corporate benefit will help drive both knowledge and action.
• Retirement – Education around retirement planning must span the generations of your workforce. Programs that highlight why to start retirement saving and planning in your 20s should be offered to young employees while programming around how to budget retirement savings can be offered for those closer to retirement age. Providing access to financial advisors to help customize savings plans can help employees put the education into action.
• Emergency Funds – Provide the opportunity for employees to set up automatic savings plans for unexpected expenses to include healthcare costs, elder care, home renovations, and more. One-on-one coaching with a financial advisor is also a way to personalize planning and support employees facing financial emergencies.

Additionally, keep a pulse on your workforce and their activity. You may see an uptick in people buying homes or there may be a baby boom in the office. Design education programs and provide tools that support the activities and concerns of your team.  

Beyond major life events, ensure you are providing resources to help with day-to-day financial issues. Budgeting is a skill not frequently taught in school, leaving many to figure it out on their own. Education sessions that outline budgeting tips can benefit employees in every generation. Make these sessions interactive, providing hands on access to online tools that employees can use after the training.

All of these benefits will only build wellness if employees use them. Communicating the availability of these programs is key. Make participation fun by gamifying the experience. Challenge employees to attend a certain number of events or set a company goal to grow participation in specific programs be that a 529 offering, a 401-K, or a savings account. Reward success with company contributions to savings programs.

Investing in financial wellness pays off—not just for employees, but for the company as well. Organizations that prioritize financial wellness see improvements in productivity, employee retention, and overall job satisfaction. A well-supported workforce is a more engaged and loyal workforce.

By taking proactive steps to enhance financial well-being, HR professionals can create a workplace where employees feel financially secure and empowered to perform at their best.

Contributor: Kris Maleski, Senior Financial Advisor, HUB Retirement & Wealth Management
Connect with Kris Maleski on LinkedIn