When you think of employee benefits, you might initially think about things like free snacks or lunchtime yoga sessions…
However, given that most employee benefits tend to only address the symptoms of stress, why not seek to address the root causes?
In this article we’ll be exploring the concept of financial wellbeing and its impact on stress at work. We’ll also be showing you how to incorporate financial wellbeing as an employee benefit to create happier, healthier and more productive employees.
What is financial wellness?
The definition of financial wellness or financial wellbeing is different for everyone.
For some, it might mean having a certain amount of money in the bank, while others might define it as being debt-free.
However you define financial wellness, it’s no surprise that financial concerns can be a major cause of stress and mental health issues.
Why offer financial wellness as an employee benefit
Recent studies have shown that many workers are struggling to manage their finances.
In fact, one study in the US found that more than half of all workers are living paycheck to paycheck.
This is a problem for several reasons. First, it can lead to financial stress, which can have a negative impact on both the individual worker and the workplace as a whole.
Second, it can lead to missed work days and lower productivity. And finally, it can lead to employees making bad financial decisions, which can ultimately hurt their financial security.
That's why it's important for employers to offer financial wellness as an employee benefit. By doing so, they can help their employees manage their finances and improve their overall financial health.
Other benefits of offering financial wellness tools at work
Financial wellness programs are becoming more and more popular in the workplace. And for good reason – they offer a huge range of benefits to employees as mentioned above.
For starters, financial wellness tools help employees become better money managers. They provide employees with the tools and resources they need to create budgets, save for retirement, and pay down debt.
In addition, financial wellness tools can help boost employee morale and engagement. Employees who are struggling financially can often feel overwhelmed and stressed out.
Having the right set of tools to manage their money can give employees a sense of relief and hope, which can lead to increased productivity and creativity.
Finally, financial wellness tools can also help reduce employee turnover. When employees are able to manage their finances effectively, they are less likely to leave their jobs in search of better financial opportunities.
How to offer financial wellness as an employee benefit
There are a number of ways to offer financial wellness as an employee benefit. This could involved hiring a consultant or financial coach to work with employees directly, however this can often be an expensive option.
At PayCaptain, we’ve incorporated financial wellness tools directly into our cloud-based payroll.
Employees have access to money-planning tools and personalised financial guidance directly within the PayCaptain app.
Employers can then view an anonymised financial wellbeing score of their employees. This can help to track financial wellness improvements over time and monitor the tangible impact on productivity and wellness at work.
If you’d like to know more, be sure to book a demo with one of our payroll & financial wellness specialists today.