An interesting article in BenefitsPro laid out a case for tracking the effectiveness of financial wellness plans. The author, himself part of a financial wellness company, led with the following metrics:
- Increased participation in retirement plans
- Reduced 401(k) loans and hardship withdrawals
- Reduced number of delayed retirements
Where is the focus? It is on a future event: retirement. While there is good reason to make sure your employees can retire on time and with dignity, what about today? What about the impact of a financial wellness program on the current outcomes of your employees?
Enrich has a guide on calculating the ROI of a financial wellness program, and they include some more current, useful metrics.
- Productivity: Financially stressed employees—which compose 69% of the working population—lose an average of about 12% of their annual productivity to stress, distraction, and illness.
- Reduced Stress-Related Illness: 40% of financially stressed employees and 18% of non-stressed employees feel that financial issues have affected their health.
- Fewer Work-Related Accidents: Between 60-80% of accidents on the job are stress related.
- Reduced Employee Turnover: 78% of financially-stressed employees and 63% of non-stressed employees would be attracted to another company that cares more about financial well-being.
Other benefits include increased satisfaction with current compensation packages, fewer questions and concerns for HR to deal with, and more employer loyalty.
We want to help you care for your team and prove the ROI. Contact us today to learn more.