Financial Planning helps Employees AND Employers.
Financial planning helps employees reduce their stress about money and gives employers access to healthier, more productive employees. Reduced stress and better health are the biggest benefits of financial planning for employees, but not the only ones.
Financial planning as an employee benefit could help your employees with their number one source of anxiety in life: money. Personal finances claims the number one spot on the list of the top five causes of stressand financial insecurity can do more than cause sleepless nights. Constant anxiety about the state of financial affairs can trigger debilitating mental and physical health issues which can have a negative flow on effect to your business. Employees who struggle financially are more likely to miss work, and those that do show up may be so distracted by their financial troubles that it affects their productivity and performance.
What can employers do to help reverse this growing trend toward financial insecurity? Offering financial planning as an employee benefit is a good place to start. Along with paid time off, education advancement programs and childcare subsidies, employers could toss financial planning into the mix.
Benefits of Financial Planning for Employees
Paying for financial planning services costs money and employees already under financial pressure may not have the funds available to seek services on their own. Financial wellness programs provided by employers can help educate workers about debt, investing, and planning for retirement.
When employers offer their employees the opportunity to meet with financial planning experts during the workday, it is a win-win situation for both. Financial planning helps employees reduce their stress about money and gives employers access to healthier, more productive employees.
When employees have access to financial advice and education, they have more control over their finances, gain confidence in their futures, have stronger relationships and sleep better at night.
Benefits of Financial Planning for Employers
We know that financial planning as an employee benefit makes for a happier, healthier, and more productive workforce. While all of these will benefit employers, they are not the only reasons organizations should consider adding financial planning to their employee benefits. Consider these seven advantages:
1. Attract Top Talent
As businesses struggle to find staff in the post-pandemic world, employers need to get more creative to attract and retain top talent. Adding financial wellness benefits to an employment package is one way to stand out from the competition.
2. Retain Healthy Employees
It costs companies a lot to hire one employee. With recruiting expenditures on the rise, organizations are seeking new ways to keep their employees. A robust employee benefits package that includes financial planning services is one way that employers can enhance workforce retention.
3. Decrease Absenteeism
When workers are stressed out about their personal finances, it can lead to some unpleasant health issues. Anxiety, depression, headaches, inability to focus, poor judgment and recurrent illness can increase any time a person is under prolonged stress. Unwell employees frequently call off work which might be prevented if employers provide personal finance consultations for their employees.
4. Increase Presenteeism
Workers who do not worry all day long about their financial situations have increased presenteeism while on the job. Not only does this mean greater productivity, it also means workers are less likely to become so distracted they risk injuring themselves or making critical mistakes that can impact business operations.
5. Improve Work Performance and Productivity
Workers who can focus on their assigned tasks — instead of obsessing about money troubles — improve their work performance and productivity.
6. Increase Engagement and Relationships
Employees who do not stress about personal finances every moment of the day enjoy more engagement with their coworkers. When money troubles are not front of mind, personal relationships also thrive, which can boost employee mental health which leads to more positive, productive employees.
7. Boost Morale
Workers who feel that their employers care have improved morale and job satisfaction. When companies really put the “human” in their Human Resources departments, they can boost employee job satisfaction and the overall opinion workers have about their roles within a company.
For more information and an exploratory demonstration: Please contact us.