8 Employee Financial Wellness Program Examples That Work

It’s no secret that promoting financial wellness in the workplace is crucial and beneficial.

However, companies willing to invest in an employee financial wellness program don’t want to spend their precious resources on programs that don’t work; otherwise, their investment isn’t worth their return.

The most important return is employee financial stability and peace of mind. In this article today, we will discuss examples of proven employee financial wellness programs.

When employees feel financially secure and confident, they are more likely to stay committed to their job and perform well. Good business owners want their companies to do great, and the best way to achieve that is by having a team that prioritizes their financial well-being.

Offering programs that promote financial wellness only works if the employees use them, and knowing about proven employee financial wellness program examples is a great place to start.

What Is An Employee Financial Wellness Program?

An employee financial wellness program is a comprehensive approach to enhancing financial knowledge and skills. These programs are designed to improve the financial well-being of employees. In addition to personal finance management, they also promote a healthy financial culture within the organization. These programs empower people to make better financial decisions.

Best Examples of Employee Financial Wellness Program

With too many options available, it can be challenging to determine which programs are guaranteed to deliver results.

So we've identified the ones with the most impressive outcomes:

1. Employee Discount Programs
2. Emergency Fund Scheme
3. Disability Insurance
4. Financial Education and Literacy Program
5. Student Loan Repayment Assistance
6. Credit Counseling and Repair Services
7. Matching Retirement Contributions
8. Healthcare Insurance

Let’s understand each example in brief:

Employee Discount Programs

One of the best Employee Financial Wellness Program Examples that gives results is to provide discounts on goods and services. The greatest thing about this program is how many discounts are available.

Banks and credit unions are excellent resources for companies to help their team members provide discount programs.

Employee Discount Programs aren’t only designed to help employees save money; more importantly, they prevent them from overspending in the first place. Additionally, they help companies reduce financial stress.

Emergency Fund Scheme

The leaders of corporate financial wellness programs learned years ago that providing their employees with access to emergency fund schemes was one of the most effective ways to ensure their team's financial stability and peace of mind during unforeseen situations.

By incorporating proven strategies that make financial security more accessible, companies can offer access to emergency fund schemes. This might sound complicated, but it doesn't have to be.

• Establish an employer-sponsored emergency fund program
• Consider partnering with a financial service provider to offer low-cost or interest-free loans for emergencies (this will be a big hit with your millennial team members!)

Having an emergency fund is essential for financial security and peace of mind.

It helps individuals and families navigate unexpected expenses, such as medical emergencies, car repairs, or job loss, without relying on high-interest debt.

However, nearly 40% of Americans would struggle to cover a $400 emergency expense.

Disability Insurance

A quick internet search on the importance of disability insurance reveals hundreds of results highlighting the significance of financial protection in the event of a disabling injury or illness.

It's no wonder that so many companies are now prioritizing the well-being of their employees by offering disability insurance.

If you're a large corporation or a well-performing small one, you might have the capacity to provide comprehensive disability insurance plans.

However, for the many others out there who can't, there are plenty of alternative options.

Easy Ways To Incorporate Disability Insurance:

• Consider offering group disability insurance policies to your employees
• Educate your team on the importance of disability insurance and provide resources for them to explore individual coverage options
• Host informational sessions or seminars with insurance experts to address employee concerns and questions about disability insurance
• Offer a flexible benefits plan that allows employees to allocate a portion of their benefits budget toward disability insurance coverage

There are numerous ways to incorporate disability insurance; the most important thing is to make it accessible and informative. If these ideas don't seem like the right fit for your team, start a conversation with them and find out what would make them feel more secure and supported in the event of a disability.

Financial Education and Literacy Programs

An employee financial wellness program that focuses on financial education and literacy is an excellent way to help employees manage their finances effectively. Studies show that a lack of financial knowledge can lead to poor financial decisions, increased debt, and long-term financial insecurity.

Connecting employees with quality financial education resources and experts who can guide them in managing their money and planning for the future significantly improves an individual's likelihood of achieving financial stability and independence.

Attention also needs to be paid to the diverse financial needs of employees across different life stages. From budgeting and debt management for young professionals to retirement planning for seasoned employees, providing services tailored to each employee's financial needs is crucial for any financial wellness program.

Student Loan Repayment Assistance:

Supporting employees with student loan repayment assistance is essential for reducing financial stress and improving overall well-being. You can do this by working with good financial partners or institutions and providing your employees with effective student loan repayment assistance.

Here are a few of the best examples of student loan repayment assistance programs:

• Offer programs that match employee contributions to student loan repayments
• Promote refinancing options to help employees secure lower interest rates on their loans
• Provide financial counseling sessions to help employees create repayment strategies
• Encourage access to federal student loan forgiveness programs for eligible employees
• Promote awareness of income-driven repayment plans and other government programs
• Support employees in navigating the complex student loan landscape

Financial wellness apps and platforms are now making access to financial assistance more accessible and less intimidating. Emphasizing employees' financial well-being will demonstrate that you care and can often be a significant first step in helping them better manage their financial situation, which is the ultimate goal.

Credit Counseling and Repair Services

In today's fast-paced world, managing personal finances and maintaining a good credit score can be challenging for many employees. Providing access to credit counseling and repair services is crucial for helping them improve their financial health and reduce the stress associated with debt.

Studies increasingly highlight the importance of good credit management in achieving financial stability, and most of us would appreciate expert guidance to navigate the complexities of credit scores and reports.

The problems affecting credit scores can be diverse, and it can be challenging to identify the root causes. Providing access to programs designed to help people better understand credit management and repair strategies will have a significant payoff in terms of employee satisfaction and financial well-being if they work.

Here's something to think about:

"Good credit is essential for accessing affordable loans, renting apartments, and sometimes even securing employment. However, nearly one-third of US adults have poor credit or struggle with credit management, which can lead to higher interest rates, difficulty obtaining loans, and increased financial stress."

Matching Retirement Contributions:

One of the most effective employee financial wellness programs is matching retirement contributions. This program encourages employees to save for their retirement and allows them to benefit from the additional contributions made by their employer.

Offering matching retirement contributions can be an attractive benefit that helps retain and recruit top talent. Employees will appreciate the extra support in planning for their future, and the matching contributions can make a significant difference in the amount of money they can accumulate for their retirement.

To implement a matching retirement contributions program, consider the following:

• Set a reasonable percentage of employee contributions that the company will match
• Establish a vesting schedule to incentivize long-term commitment and loyalty
• Educate employees on the importance of saving for retirement and the benefits of the matching program
• Offer resources and tools to help employees make informed decisions about their retirement savings

Healthcare Insurance: Protecting What Matters Most

Healthcare costs can be a significant financial burden for employees, making healthcare insurance an essential component of a comprehensive employee financial wellness program. By offering healthcare insurance, employers can help alleviate some of the financial stress associated with medical expenses and ensure their employees have access to the care they need.

There are various options for providing healthcare insurance, from traditional group plans to more flexible, individualized options. Consider the following when implementing a healthcare insurance program:

• Evaluate the needs of your employees and choose a plan that offers comprehensive coverage
• Offer a range of plan options to accommodate different needs and budgets
• Provide resources and support to help employees understand and navigate their healthcare benefits
• Encourage preventative care and wellness programs to promote overall health and reduce healthcare costs

Conclusion

While there are numerous employee financial wellness program examples that work, the most crucial aspect to consider is what your specific team needs.

Large corporations have the advantage of offering a broad array of financially focused programs, but there are many initiatives that companies can implement without significant expenses; it just requires a little effort.

Ultimately, the programs with the best outcomes will be the ones your employees will utilize. Using above wellness examples with proven results is the ideal starting point for creating positive financial changes.

In these evolving times where financial well-being is a top priority for many, providing employees with access to financial wellness solutions is a way to not only support your team but also help create a company culture that values the individuals who contribute to its success.

Are you looking for more ideas on how to start a company financial wellness program? Explore our Financial Wellness Program Solutions here and Register your company to get started.