Improving employee financial wellness may seem like a complicated undertaking to take on, but fret not. When it comes down to it, you only need 3 things to accomplish your goals:
But why do this in the first place? Why go out of your way to improve your employees’ financial health—a personal, often taboo topic? Well, it’s all about improving profitability (and not to mention, being an employer who cares about the wellbeing of their workers). The more faith employees hold in their present and future prosperity, the more productive and engaged they are in your workplace. It’s simple, really.
Offer Retirement Plan Options
Offering retirement plan options—from a 401k, 403b, IRAs, profit-sharing to defined-benefit (or pension) plans—can help attract and retain valuable employees. According to a new AICPA survey conducted by Harris Poll, 49% of American adults are worried they won’t have the financial capacity to sustain a comfortable life in retirement. And, needless to say, the thought of not being able to support yourself in old age—such as not being able to pay for rent, medications, or other health care costs—can and will weigh affect one’s ability to perform their best at work.
Luckily, there are many retirement options you can choose from to best fit your unique company and provide your employees with financial wellness. Here are some things to keep in mind:
The added bonus? Employer contributions to retirement plans are generally tax-deductible, too.
Offer A Student Loan Repayment Plan
According to the Society for Human Resource Management, only 4% of employers currently offer a student loan repayment plan as an employee financial benefit. However, it’s expected to grow exponentially in popularity in the coming years. In fact, 76% of respondents to the American Student Assistance “Life Delayed” survey reported that, if all other job benefits were the same, the decision to choose a job which offers this benefit to one that doesn’t would be affected or decided based on an employer’s readiness to offer a student loan repayment plan.
And, it’s no surprise that the indebted are eager to receive help—spread out among 44 million borrowers, America is currently under a whopping $1.45 trillion in student loan debt. Not to mention, the average student in the class of 2016 has $37,172 to pay back in borrowed money.
The incentive to help employees with their student loan debt? Student loan debt is debilitating to well-being, health, and productivity, and offering relief benefits employees and employers alike.
Here are some companies to take inspiration from:
Implement A Day-to-Day Financial Health Solution
Retirement plans help employees feel confident in their future, and student loan repayment plans provide support on past financial debt. But, what about the here and now? Isn’t a day-to-day financial health solution paramount to sustaining employee financial wellness?
We think that’s the case here at PayActiv. The statistics show us just how necessary it really is:
This financial anxiety is not only hurting employees, but employers as well. PayActiv offers a holistic financial wellness solution which grants employees access to their earned-but-unpaid wages to relieve employee financial stress and improve workplace performance. By doing this, we remove the between-paychecks stress for employees and empower them with the dignity, security, and savings they deserve. Employers see increased productivity and engagement in the workplace as a result. In fact, PayActiv customers see a 30% increase (and sometimes more) in retention after offering our program. Our implementation is even easy: Setup takes less than a day to complete and we provide all marketing roll-out material for your company.
Luckily, if your company wants to improve employee financial wellness, a few steps can go a long way to help your employees and streamline recruitment, retention, and engagement. Interested in offering a day-to-day financial health solution? Contact us at PayActiv today.
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