The two most financially stressful times of year are the holidays and tax season. With one a mere matter of weeks away and the other only a few months behind, people are going to start feeling increased financial pressure soon. Unfortunately, financial stress at home can lead to decreased employee productivity at work.
More than 60% of people report being stressed about money and finances. As a result, 37% of people report spending three or more hours thinking about or dealing with personal finances each week; and personal finance issues are a distraction at work for 1 in five employees, according to PWC.
Financial well-being is critical. Stress related to personal finances is sapping your employees of their energy and focus. As a result, many of your employees are far less productive than they could be. What can you do to combat this lost employee productivity? Make financial well-being an integral part of your corporate well-being program.
Provide Financial Literacy Training
Although people are stressed, they are more than willing to accept help when it comes to learning how to better manage their finances. Nearly 90% of employees want their employers to provide financial education.
To help your employees feel less stressed and focus better, provide financial literacy training on the topics they’re most interested in. This could include:
- 401k participation
- Understanding the stock market
- Lowering monthly expenses
- Budgeting and budget planning
- Saving for kids’ college or other big life events
- Handling emergency situations
- Planning for and filing taxes
Generate a company-wide poll to see which financial topics your employees are most interested in, then arrange for experts and financial professionals to come into the office to provide free training.
Make Financial Well-Being Part of Your Corporate Program
Offering occasional classes and lunch-and-learns will help your employees learn how to better handle their finances, but to keep financial well-being top of mind all year long it’s important to implement other well-being program features.
Create financial well-being challenges and goals within your well-being program, just as you would create a physical fitness or healthy eating challenge. This will encourage employees to be mindful of their finances and work toward healthy finance goals. Examples of financial challenges include:
- Skip the Coffee: Encourage employees to bring coffee from home or drink the office coffee instead of spending money at the local coffee shop. They’ll be surprised how much they save!
- Keep the 5s: Every time an employee gets a $5 bill they tuck it away instead of spending it. Committing to saving these small bills won’t put pressure on everyday finances, but will quickly add up to savings. These savings can be used for an emergency or to pay off taxes.
- Holidays in July: Since traveling and shopping for the holidays can get expensive, challenge employees to plan ahead by starting their holiday gift shopping and booking flights during the summer. Spreading out the spending will lessen the pressure at the end of the year.
Helping employees better manage their finances throughout the year could have a positive effect during financial crunch periods and keep employee productivity high because they’re not stressing about money.
Total Well-Being’s Approach to Financial Well-Being
Total Well-Being believes that financial well-being is a critical component to moving beyond old-school wellness programs into more effective corporate well-being programs. That’s why financial well-being is one of our four core program pillars and why we’re continuously working to enhance our financial well-being tools.
The Total Well-Being Strive platform features financial literacy quizzes, can host your financial well-being challenges, help employees track their financial well-being goals and can be used by employees to share their best money saving and planning tips.
TWB also offers expert consulting to help you and your employees focus on financial well-being so everyone can spend less time distracted and stressed and more time being happy and productive.