“What do you mean when you say financial wellness?”
It’s a question central in the retirement plan space currently, one The Retirement Advisor Council is aiming to help answer.
The organization announced Monday that is has published its VIEWPOINT, a guide to help employers sort through financial wellness solutions to find one most relevant to their needs and the demographics of their employee base.
Noting that, “A myriad of types of financial wellness programs aimed at reducing employee stress exist in the marketplace,” the guide helps employers decide:
- Which financial wellness programs are appropriate for their workforce, and
- How to assemble a program that reduces employees’ financial stress and keeps them focused on their work.
“Choosing the right solution can be overwhelming and requires a thorough understanding of each particular workforce and other benefits offered,” Troy Redstone from PHD Retirement Consulting and President of the Council said in a statement. “Retirement plan advisers and service providers are well-positioned to help employers determine the program that is right for their employees. Just as medical plans are supported by a wellness program, healthy retirement plans should be undergirded by a financial wellness program.”
View the “What do you Mean When You Say Financial Wellness? Guide Here
Adding that employee stress has increased over the last decade, the council said the economic downturn associated with the COVID-19 pandemic has made the burden of debt and the lack of emergency savings very stressful for US workers suddenly.
“Financial wellness programs are more critical than ever given the unprecedented toll the current coronavirus has on work, finances, health and social engagement,” James D. Robison of Strategic Retirement Partners, a member of the Board of the Council and of the editorial board that helped formulate the guide, explained.
This VIEWPOINT is the first of seven the Retirement Advisor Council plans to publish in 2020 to guide employers and their financial advisors through the construction of financial wellness programs.
Future VIEWPOINTS will examine the return of investment to the employer of a financial wellness program, and how to tailor a program to the unique concerns of various segments of the workforce such as women, new entrants, and executives.