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How to Find the Right Financial Wellness Solution for You and Your Employees

BrightPlan Team

Rising inflation, market volatility, mounting debt, high mortgage rates, and retirement planning are among the factors leading to record levels of employee stress, particularly financial stress. BrightPlan’s 2022 Wellness Barometer Survey found that 72% of employees are stressed about their finances, up from 65% in 2021. Now more than ever, employees are looking to their employers for help.

Employers can address this heightened need by offering a comprehensive financial wellness benefit. Traditionally, programs such as a 401(k) or pension plan have made up the extent of an employer’s financial wellness offering. While retirement planning is an important component of a financial wellness package, it’s just one element of Total Financial Wellness. A holistic financial wellness program should address the needs of employees at every stage of life and include financial education, planning tools, and the ability for employees to invest, track and manage their finances. A comprehensive solution should also provide access to financial planners. 

Here are key elements your employees need in a financial wellness solution and what you should look for.

 

Employee Features:

Accessible And User-Friendly

Personal financial management is a complex endeavor, and the goal of a financial wellness program is to make this easier for employees. A comprehensive solution should include 24/7 access to digital tools that enable employees to easily manage their finances in real-time, providing updated guidance based on evolving employee goals and changing market conditions.

 

Actionable Resources

A shocking 13% of employees have basic financial literacy. This means that a majority of employees are likely unaware of basic financial concepts and principles that can lead to financial confidence. In order to drive financial literacy, financial education needs to be the foundation of any financial wellness program and must be easy-to-digest and actionable. The knowledge employees gain should give them the confidence to make informed decisions that help them achieve their life goals.

 

Personalized Insights

In order to empower employees to make the best decisions for themselves, they need access to objective data about their financial plan and market conditions. Insights should help employees understand their current financial situation and enable them to make progress toward their goals. Arming employees with data-driven insights can empower them to better plan, invest, and save strategically in pursuit of their financial goals.   

 

Access to Financial Planners 

A financial wellness program that enables employees to learn about personal finance and conveniently manage their money is core to achieving financial success. But to get the most out of the program, employees should also have access to financial planners. Seasoned financial planners can help employees spot gaps in a financial plan, give valuable validation that employees are moving in the right direction, and answer specific and personal questions about an employee’s finances. Additionally, a comprehensive solution will include financial planners trained in your company’s benefits package in order to drive adoption and utilization of the company’s 401(k), HSA, stock compensation, and other financial benefits.

 

Employer Features:

Inclusive Support

To foster a culture of care and belonging, it’s important for the solution to be accessible and embrace all employees’ unique values and perspectives. It should support employees at every stage of life and with varying financial goals, whether that’s paying off debt, buying a home, or preparing for retirement.

 

Benefits Utilization 

Most companies offer retirement planning, HSAs, stock compensation or some other form of financial benefits. A financial wellness program should not only raise employee awareness of these programs, but also educate them on how these benefits can help them achieve their financial and life goals. Look for solutions that offer tailored education and financial planners trained in the benefits that you offer. This can help drive utilization and engagement of your overall benefits program.

 

Data-Driven Insights

A comprehensive solution should provide data and insights into employees’ progress towards achieving their financial goals and overall utilization of the program. This can give clarity into the adoption and success of employee financial and holistic well-being initiatives. Data should also be segmented by demographics to provide insights into the needs of different employee populations, enabling HR teams to better support employees, demonstrate ROI, drive customization, and improve decision-making.

 

Extension of HR Team

Look for a solution that will serve as a true extension of your HR team. A strong partnership will ensure employees receive advice and insights tailored to your company’s benefits program and that you receive the objective data you need to demonstrate ROI and make informed benefits decisions in the future.

Learn more about our Total Financial Wellness solution.

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