Millennials are facing greater financial wellness challenges compared to other generations. Millennials financial challenges are not only from higher student loan debt, but also from carrying credit card balances and having enough money to pay their monthly expenses. They are looking to their employers for solutions. This presents companies with an opportunity to improve the financial wellness of younger employees as well as increase loyalty and employee engagement.
Companies that offer financial wellness programs are especially attractive to millennials. 81% of Millennials are more likely to be attracted to another company that cares more about their financial well-being. Additionally, 46% of Millennials say their loyalty to their company is influenced by how much the company cares about their financial well-being, according to a 2019 financial wellness survey by PwC.
Nearly half of millennials indicate that they are most worried about not having enough cash for unexpected expenses, with 62 percent citing it as their top concern. The second highest concern is not being able to meet monthly expenses, 42 percent. Financial wellness programs that are most likely to appeal to younger workers are those that help them budget their money, save for emergencies, and teach them how to eliminate debt.
Across generations, 59% say financial matters cause the most stress in their lives and 76% of Millennials have stress dealing with their finances. This affects sleep, health, productivity, relationships at home, and attendance at work.
When you implement a financial wellness program you provide education, inspiration, and hope to your employees. A good financial wellness program should not only teach your employees how to budget, how to save for unexpected expenses, and how to eliminate debt, but should also provide them with the tools, education, and resources on how they can achieve financial wellness and show them that it can be done. These types of programs should not sell any financial products including loans or investments so the employee knows the program is providing unbiased services.
© 2019 Carl Lander
Carl Lander works with organizations that want to equip employees with financial peace of mind so they are more productive and engaged.