Financial Wellness Programs Score High with Employees

NFEC financial wellness
Image credit: © Andrei ASKIRKA | Dreamstime.com

Financial wellness programs have never been more popular.

According to the National Financial Educators Council’s (NFEC) annual survey, companies are becoming increasingly aware of the need to raise financial wellness among their employees. Doing so has many advantages according to the Labor Day-timed report which notes increased employee productivity, greater job satisfaction, and in today’s labor-strapped environment, lower employee turnover.

The survey indicates a clear link between individuals’ financial situation and their work experience, though some of the findings showed a significant drop from the think tank’s 2020 results, a change that could be tied to the pandemic’s influence on the workplace:

  • 45.6% have a more favorable opinion of an employer that provides personal finance education training (up from nearly 45% in 2020).
  • More than 48% say they would be more productive at work if their personal financial situation were more secure (down more than five points from 2020).
  • About half responded that they would be more content with their salary if other areas of their personal financial situation improved (a decrease of 5.2% from 2020).

“These results are consistent with what we hear anecdotally from employees around the US. People are concerned about their money situations, and they think highly of employers that make top-quality financial wellness programs available to employees,” noted Vince Shorb, NFEC’s CEO.

NFEC’s financial wellness survey evaluates support for employee financial wellness programs and studies how employees’ financial wellness relates to various employment measures. The report is part of its ongoing efforts to measure employee attitudes on a series of financial wellness and literacy issues. An October 2020 report illuminated a stark reality with approximately 40% of respondents saying they turned to parents, family, friends, or coworkers for “trusted financial guidance,” compared to almost 36% who look to a financial professional for advice.

NFEC also provides thought leadership, resources, advocacy, and research results to the financial education industry.

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Lynn Brackpool Giles
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Lynn Brackpool Giles is a contributing editor to 401(k) Specialist. Giles is a former Managing Director of Communications and Consumer Services for the Financial Planning Association (FPA), where she oversaw all corporate, legislative, and consumer communications. In her current journalistic practice, she is a frequent contributor to numerous financial services industry publications.

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