How to Relieve Your Employees’ Financial Stress

Let’s face it: life throughout the past year has been…stressful. Finance was indicated by 60% of employees as their primary stressor—and that was prior to the COVID-19 pandemic. Now that a vast majority of professionals find themselves working from home, financial stress has only become more prevalent with heightened utility bills, loss of work hours, and laid-off partners. 

The fact of the matter is that financial stress is not just a personal problem, it’s also a professional one. Financial stress can negatively impact productivity, healthcare expenses, employee retention, and not to mention, team morale. It is, without a doubt, in the employer’s best interest to create a foundation of financial well-being in order to get the most from their employees.

This article will discuss specific ways in which employers can support their employees’ financial well-being, helping to alleviate the financial stress that has been accrued throughout the pandemic:

More Money Is Not the Answer

Although your employees would most certainly appreciate a raise, this is only placing a bandage on the surface of financial stress. As Dave Ramsey states, personal finance is 80% behavior and 20% knowledge. Therefore, for long-lasting, life-changing results, a shift in the foundational behavior and attitude towards finance management must be made.

Financial literacy is a skill that must be learned through practical application and habit. When studies have shown most adult learning happens in the workplace, it seems that this knowledge may be easily interwoven throughout an employee’s professional routine.

Prioritize a Financial Wellness Program

It’s true: a business is only as successful as its team members. This is why we recommend personal development measures not only be offered by employers but greatly encouraged and supported. 

There are several different options when considering how to integrate a employee financial wellness program into your business, including:

  • Health insurance that includes an Employee Assistance Program
  • A CFO who holds appointments for financial advisory assistance
  • A 401(k) provider that offers financial education tools

Make it Personal

Employees might be hesitant to share their financial situation with the people they work with on a daily basis—that’s understandable, as finances are a very personal topic. The goal to alleviate this uneasiness is to create a safe and inviting environment in which employees feel comfortable sharing their experiences and seeking advice.

First and foremost, start with an employee survey regarding financial stressors, literacy, and management habits. Rather than basing your financial support programs off statistics you find on the internet, this survey will allow you to personalize your company’s approach. 

The next step is to ensure that leadership support is present in any financial management program your company adopts. This could look differently depending on your company’s culture but could include:

  • Promoting open enrollment season to ensure employees maximize benefits
  • Hosting a quarterly “lunch & learn” team workshop with guest speakers
  • Ramp up email communications promoting 401(k) seminars such as maximizing retirement

More Control, Less Stress

As a person of professional leadership, it’s your responsibility to support the well-being of your team members’ lives in and out of the office. As we mentioned, financial stress negatively impacts productivity and team morale, causing a lose-lose situation for both employer and employee. 40% of employees admit that personal stress affects their productivity at work…and that’s just those who admit it. 

With the right resources and support infrastructure in place, you can aid your employees while also realizing their potential. The more control your employees have of their personal finances, the less time on the clock they will spend stressing.

Southwestern Investment Group provides financial advising services with knowledge and integrity. Contact us today to learn more about financial wellness programs and how they might benefit your employees.

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Jeffrey T. Dobyns

CFP®, CLU, CHFC

President, SageSpring 

Jeffrey T. Dobyns

President, SageSpring 

Beyond crunching numbers and investment strategies, at SageSpring, we’re about building relationships. When you encounter Founder & President of SageSpring, Jeff Dobyns, it’s easy to understand why this is at the very heart of who we are as a firm. You won’t find stuffy formalities with Jeff; instead, you can expect to find him sharing a warm smile, communicating a compelling vision, or patiently untangling life’s complex challenges with clients. He believes in truly getting to know clients, understanding their aspirations and priorities, and navigating their financial plans with a tailored, comprehensive approach. Our team members have often been caught taking notes on Jeff’s effortless relationship skills from a distance, and we admire them for striving to learn from one of the best. 

Jeff’s financial expertise and wisdom are the perfect match to his innate people skills. Jeff holds the prestigious CERTIFIED FINANCIAL PLANNERTM certification, Chartered Life Underwriter (CLU®), and Chartered Financial Consultant (ChLU®) designations, and has held executive positions with financial planning firms for more than two decades. 

His dedication extends beyond the office to the boardroom and the local community, where Jeff is passionate about giving back. He serves as Chairman of the Board of Men of Valor, a prison ministry and mentoring program. Jeff also serves on the board of Send Musicians to Prison, which shares hope, healing and restoration with the imprisoned through musicians & artists. Jeff actively supports other initiatives in the community by sitting on the board of The Signatry of Middle Tennessee and the Halftime Institute of Nashville. 

Witnessing his four children, Gracyn, Hunter, Tanner, and Logan, excel on the field is almost just as rewarding, if not more, than celebrating the victories of seeing his clients overcome obstacles and build wealth. Spending weekends boating on the lake, hiking mountain trails, and fishing with his family are the moments Jeff cherishes most. It’s this grounded perspective that reveals the true meaning of wealth for Jeff: not just numbers on a page, but the freedom to create experiences that enrich your life and the lives of those you love. When you choose the Dobyns McMillin Wealth Team, you choose more than financial expertise. You choose a partner who champions your dreams, celebrates your victories, and walks besides you on the path to achieving your unique goals.

**Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER TM, CFP® (with plaque design) and CFP® (with flame design) in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements.