As most of us can attest to, it is difficult to leave life’s challenges and stresses at the door when we arrive at work. These challenges and stresses can be quite aggressive, competing for attention normally dedicated to work responsibilities.
It’s certainly understandable. Medical insurance costs continue to increase. Student loan debt is sitting at $1.4 trillion, 75% of Americans live paycheck to paycheck, and the average American doesn’t have more than $400 in savings.
The effects of financial stress in the workplace are not isolated to the employee. Employers take a direct hit through decreased productivity, increased absenteeism, higher turnover, and increased healthcare expenses. A staggering 46% of employees spend, on average, two to three hours per week dealing with personal finance issues during work hours. Translated into dollars, businesses lose half a billion dollars a year because their employees are stressed about their personal finances.
Employers can effectively reduce stress in the workplace by providing employees with a holistic financial wellness program that supports the uniqueness of each employee’s financial situation. The program should guide employees with a recommended plan based on the results of a personalized assessment and supported by the tools and resources included within the financial wellness program.
Tools such as a money management dashboard and financial calculators can help employees create budgets, track and organize expenses, set up alerts and make more informed financial decisions eliminating the stress brought on by missed bill payments and bank overdrafts.
Educational courses improve financial literacy, empowering employees to make more informed money decisions. Financial coaching can effectively diminish stress with one-on-one guidance for specific debt concerns. And for employees dealing with the stress of an unexpected financial challenge, solutions such as short-term loans and early wage access can provide immediate relief.
Financial stress can be left at the door or even cease to exist when employees are supported with a financial wellness benefit that helps them overcome their financial challenges and guides them down a path of greater financial well-being.