Ways to Help Employees Manage Financial Stress
Updated: Dec 19, 2022
Financial stress is an unfortunately a common concern among workers hoping to save for retirement. In recent years, though, employees enduring financial stress has become a major issue among industries, as these concerns consume workers’ thoughts to the point of affecting their attitude and progress throughout the day. With financial stress being one of the top issues for employees, employers need to address employees’ concerns and help reduce financial stress from impacting their daily workflow. But how? To start, let’s look at some ways employers can help their employees manage financial stress and support their retirement financial goals.
Encourage Financial Planning
One of the best ways employers can eliminate financial stress from employees is by pushing them to take the time to learn and control their finances. By actively planning the income, financial accounts, budget, and essential expenses needed day-to-day employees can build confidence in their future finances and mindset toward retirement. Moreover, this encouragement helps to build financial wellness and intelligence within your workforce, which ultimately cuts back stress to leave room for better thinking and productivity during important projects. In educating yourself on the individual financial concerns of employees and taking an active role in developing their financial literacy, you can establish a better work culture among your employees, boosting positivity and retaining quality workers that appreciate the concern for their financial well-being.
Set Saving Challenges for Active Engagement
The easiest way employers can reduce employees’ financial stress is to set up challenges amongst your team. Such challenges could include cutting expenses, cutting impulse shopping, or small savings goals throughout the week that are rewarded with prizes or praise. Though small, setting up savings challenges can prove as fun, thought-provoking ways to build engagement towards financial planning. This also enables better communication by supporting and discussing each employee’s financial goals and concerns. To encourage the best engagement and reduce financial stress, employers ought to consider using specialized online programs or apps to keep employees on track of their financial goals. Even a simple group chat forum can help boost attention and inspire employees to build their savings up.
When it comes to financial stress, each employee has their own unique problems and concerns to address within their financial plans. As an employer, it’s an impossible task to successfully address each subordinate’s financial issues, particularly if certain problems must be addressed within a certain timeframe. Thankfully, business owners don’t have to juggle the strain of their employees’ financial stress alone. Bringing in a financial advisor such as a plan administrator or fiduciary helps to address and manage the individual concerns of employees while also removing stress from employers who previously struggled with managing plans. For this reason, using a financial planner can remove financial stress from the employer and employees by giving time to address concerns about budgeting, bills, retirement planning, and credit scores.
Highlight Employee Retirement Benefits
During difficult periods of inflation, recession and taxation, employee financial stress can reach its peak, impacting mood and productivity throughout your business. In times of hardship, it's important as an employer to emphasize the benefits available to employees that ensure their financial security in your company. Instances of highlighting retirement benefits may include updated reports on stocks, healthcare, and paid time-off rates to show how employee finances have improved in certain capacities. In fact, showing that rates have remained stable despite dropping market trends can put workers’ minds at ease knowing their financial circumstances are safe.
Educate and Promote Financial Stress Management
Most people can agree that financial stress can feel like a weight upon your chest, suffocating your thoughts to leave less focus for work or enjoyment. To a degree, financial stress becomes toxic to mental and physical health; therefore, addressing financial stress with ways to reduce and manage concerns ensures a better planning strategy for everyone. Employers that promote educational programs on financial management or stress reduction improve the chances of employees recovering from such financial woes. Knowing that an employer cares to address financial concerns is not only validating but also inspiring to employees that feel lost in the mire of planning their retirement savings for the best benefits. Whether it’s webinars counseling or wellness courses, employers stand to earn employees’ admiration and appreciation for addressing financial stress as a top concern within their organization.
By implementing fiduciary aid along with financial wellness programs into company culture strategies, employers can reduce financial stress from employees. Prioritizing employee financial concerns may take some time but will gain long-term benefits by improving workplace productivity and admiration knowing their savings are secure during financial hardship. Employee financial stress can be further improved by RPCSI’s team of planning experts, who are eager to educate and provide the best retirement benefits for their future. Learn more about our retirement options by contacting us today.