Ways for employers to encourage employees to improve their financial wellbeing

All employees will face personal financial worries at some stage of their life, whether they are concerned about personal debt, retirement savings or budgeting.

Poor financial wellbeing has a negative impact on the workplace. Over 4.2 million working days were lost as a result of 500,000 private sector workers taking time off in the last year due to the impact of poor financial wellbeing. This ‘absenteeism’ cost £630 million averaging £150 per employee per day*.

At Four Wealth Management, we offer a complimentary Workplace Financial Education service to help employees understand and manage their own finances better. We specialise in empowering them to manage their own pensions, investments and savings.

Due to the current pandemic, we are offering this service to employees via Teams/Zoom online at a time/date that suits your employees. Sessions last approximately one hour and can be tailored to your employees needs.

Below are some tips that employers can use to help employees to manage their own finances effectively.

Understand the needs of employees

Every employee will have different circumstances resulting in different financial priorities.

At Four Wealth Management, before we run a Financial Education seminar for your employees, we will encourage employers to understand the needs of their employees and what they hope to gain from the sessions.

Employers should assess their employees and consider their needs. For example, young employees are likely to be saving for a deposit for a first home, whereas older employees are likely to be more concerned with their pension pot. Segmenting employees into similar groups will help make sure that the education sessions that they attend are relevant and helpful for their individual circumstances.

Help with basic financial issues

Employees often struggle with basic financial issues which can have a negative impact on their financial circumstances and wellbeing over time.

Employers should help to educate their employees on managing loans and debts as well as budgeting. For example, how to create a realistic monthly budget to allow employees to save some money each month.

Reviewing direct debits and outgoings is a good way for employees to understand their own finances and manage them effectively. They should compare pricing for services such as car insurance and electricity to reduce their outgoings.

Provide employees with support

Financial education is the best way that employers can help their employees to improve their financial wellbeing. Seminars can help employees to understand finances in general and having access to an expert financial adviser for individual support is beneficial.

Find out more about Workplace Financial Education

Book a Workplace Financial Education seminar for your employees

To book a complimentary Workplace Financial Education seminar for your employees, contact Four Wealth Management on 0117 973 0500. You will be allocated a financial adviser who will take the time to learn more about your company, your employees and offer a tailored education approach.

Our Workplace Financial Education seminars are currently being run online so employees can attend even if they are working at home.

Four Wealth Management Ltd is an Appointed Representative of and represents only St. James’s Place Wealth Management (which is authorised and regulated by the Financial Conduct Authority) for the purpose of advising solely on the Group’s wealth management products and services, more details of which are set out on the Group’s website at www.sjp.co.uk/products.

*Aegon. ‘Financial Wellbeing in the Workplace’. (2019). Sample 2,000, [ebook] London. Available at: https://www.aegon.co.uk/content/dam/ukpaw/documents/financial-wellbeing-CEBR-condensed.pdf [Accessed 10 Sep. 2019].