LizStevens, Author at Best Money Moves

Why Financial Wellness Is a Must-Have Employee Benefit

by LizStevens | Oct 7, 2020 | Blog

Why financial wellness is a must-have employee benefit. The demand for financial wellness programs has never been higher and employers are ready to help.

Employers are getting serious about financial wellness.

Financial wellness programs have emerged as a key employee benefit in the last few years and COVID-19 has only strengthened demand for resources that can help employees deal with their finances.

More than 60 percent of employers now feel “extremely” responsible for their employees’ financial wellness, compared to just 13 percent in 2013, according to the latest Workplace Benefits Report from Bank of America. Employers are most interested in programs that help employees save for retirement (81 percent), plan for healthcare costs (71 percent), budget (63 percent), save for college (55 percent) and manage debt (54 percent). Over 80 percent of employers agree that financial wellness programs and tools help to create more productive, loyal, satisfied and engaged employees.

Heightened interest in financial wellness programs couldn’t come at a better time as 59 percent of employees say they don’t have control over their debt and 62 percent say they don’t have enough emergency savings to last them six months.

Why Financial Wellness Is a Must-Have Employee Benefit

The issue of financial wellness is multifaceted. While most employees experience some form of financial stress, each situation is unique.

When it comes to debt, for instance, 82 percent of employees are in it, but the type of debt they have varies. According to the Bank of America Survey, half of employees have credit card debt, 46 percent have a mortgage loan and 21 percent have student loan debt. Regardless of the type of debt, 36 percent say it affects their ability to achieve their financial goals.

It’s mentioned earlier in this post that 62 percent of employees don’t have enough emergency savings to last six months, but that’s not the full story. Nearly half of employees say their emergency savings won’t last more than three months and 24 percent admit it won’t last them even one month, according to research by FlexJobs and Prudential.

As far as retirement, 71 percent of employees expect the pandemic to impact their plans, according to research by TD Ameritrade. Almost 40 percent have delayed or are considering delaying their retirement, 36 percent have decreased or are considering decreasing their retirement savings and 29 percent have withdrawn or are considering withdrawing funds from their 401(k) account. On the flip side, 47 percent of employees have increased or are considering increasing their retirement savings contributions, 29 percent of employees have opened or are considering opening a new investment account and 27 percent have converted or are considering converting their IRA to a Roth IRA.

Employees may have different financial stressors and goals, but 84 percent of them are in agreement that COVID-19 will have an impact on their ability to achieve long-term financial security and 59 percent of them say that impact will be moderate or severe.

What Employees Want From Financial Wellness Programs

Bank of America asked employees which financial resource would be most important to them if their employer were to offer it and found:

41 percent of employees want financial advice from a professional
30 percent want information on retirement plans
28 percent want the availability of financial products/services that help employees
27 percent want online financial tools or calculators
26 percent want resources on developing financial skills and good financial habits

They also noted that employees reacted positively to other forms of help, including tips for preparing for a financial shock, receiving a report card that can help them measure their financial health and even support to help them plan and take action.

How Best Money Moves Can Help

Best Money Moves has it all. It has the tools and features that help employees measure their financial stress, budget for monthly expenses, pay down debt and plan for emergencies. Our team of Money Coaches, trained professional financial counselors, are ready to give employees financial guidance whenever they need it. Employees can educate themselves about everything from investing in the stock market to co-signing loans to buying their first homes with access to a library of over 700 articles, videos and calculators. We leverage user analytics to create individualized employee content and Best Money Moves is gamified to encourage consistent engagement.

Employee information is always private but employers do have access to key analytics that show overall employee financial stress and stress levels over time. The Employer Dashboard also features information on program usage, debt and savings levels and more so employers can see just how valuable Best Money Moves is to their employees.

If you want to learn more about how Best Money Moves can bring financial wellness to your company download our whitepapers and sign up for a demonstration here.

How Do You Make Open Enrollment Easier for Employees?

by LizStevens | Sep 30, 2020 | Blog

How do you make open enrollment easier for employees? Making the process simpler so employees can find the right plan to help them manage healthcare costs.

COVID-19 has been a wake-up call for the 49 percent of employees who plan on spending more time researching and selecting health insurance plans during open enrollment this year, according to research by Aflac.

It’s a welcome shift in behavior considering 92 percent of employees choose the same benefits year after year and spend an average of 33 minutes or less on the task. But most employees can no longer ignore the rising costs of healthcare. Over 90 percent of workers said they were surprised by at least one healthcare cost in the last year.

Another survey, by Voya Financial, found that 53 percent of employees plan to make changes to their benefits coverage in the next open enrollment period and 71 percent plan to take their time reviewing voluntary benefit options offered by their employers.

“With COVID-19 part of our daily lives for the foreseeable future, our new survey reveals that many are focused on ways that they can protect the health and wealth of themselves and their families, and they recognize workplace benefits are a way to do just that,” said Rob Grubka, president of Employee Benefits, Voya Financial.

Preparing for open enrollment in the midst of a global pandemic is no easy task, but if employers can simplify the process and help employees better understand how different plans can help them manage healthcare costs, it’s a worthy pursuit.

How Do You Make Open Enrollment Easier for Employees?

The most impactful way employers can make open enrollment easier for employees is to give them more information about their benefits outside of the open enrollment period. Over 80 percent of Gen Z, 82 percent of Millenials, 77 percent of Gen X and 70 percent of Baby Boomers agree that they want to receive more information about employee benefits when it isn’t time for open enrollment.

Traditionally, organizations have an annual meeting or send out an email with bulky attachments to communicate important information about employee benefits. That process doesn’t align with the way people absorb information in a digital age. It’s much more advantageous for employers to send out shorter, bite-sized benefits communications over a longer period of time to improve benefits understanding. Breaking down benefits communications and spreading them out throughout the year could boost employees’ confidence about their benefits knowledgeability and significantly reduce the aversion many employees have to open enrollment as a tedious, confusing process.

According to Aflac, 54 percent of employees experience anxiety about health care costs that are not covered by health insurance, 48 percent admitted they couldn’t pay $1,000 for out-of-pocket medical expenses without relying on debt or credit and most upsetting, 46 percent of employees have delayed medical care because of cost concerns. Employees are clearly overwhelmed by healthcare costs and thankfully, they’re ready to pay closer attention during open enrollment. Now it’s time for employers to make the process easier for them.

Building Your COVID-19 Return to Work Safety Plan

by LizStevens | Sep 23, 2020 | Blog

Building your COVID-19 return to work safety plan. Employees worry their health and safety will be compromised but a strong safety plan can reassure them it’s safe to return.

The vast majority – 82 percent – of employers don’t feel adequately informed about the procedures that need to be in place to ensure a safe working environment during the COVID-19 pandemic, according to research by Humana Health Shield.

And 75 percent of their employees agree. They aren’t confident about the return-to-work measures their employers have put in place and 68 percent feel their health and safety will be compromised at work when they return.

It’s paramount that employers are confident about the COVID-19 workplace safety measures they’ve put in place as many plan to return, soon. Nearly 60 percent of employers will be ready to welcome their staff back at the end of September and another 13 percent expect to bring employees back by the end of the year.

In order to ensure a safe return, employers need to pay close attention to guidance from respected health and workplace protection agencies, revise sick leave policies and directly address worker concerns to reassure them that it is safe to return.

Building Your COVID-19 Return to Work Safety Plan

First, employers should familiarize themselves with two important resources, COVID-19 Guidance for Businesses and Employers from the Centers for Disease Control and Prevention (CDC) and Guidance on Preparing Workplaces for COVID-19 from the Occupational Safety and Health Act (OSHA). These guidelines elaborate on effective ways employers can lower the risk of exposure at work and respond to employees who are showing symptoms of COVID-19 or have tested positive for COVID-19.

Then, it’s time for employers to revise their sick-leave policies. Just 22 percent of employers updated their sick-leave policies and only 19 percent updated communications policies for exposure. It helps that 67 percent of workers are willing to do daily symptom check-ins with their employer and 75 percent would be comfortable with employers tracking their symptoms.

Finally, employers need to address employee concerns about returning to work directly. Employees are worried their health and safety will be compromised when they return or that their employer hasn’t taken adequate safety precautions. They’re most concerned about their co-workers’ hygiene (17 percent), commuters (25 percent) and the workplace environment (21 percent). Over 70 percent of employees rank their co-workers as posing the single most significant COVID-19 transmission risk in the workplace. In order to address these concerns, almost nine in 10 employers have introduced new hygiene protocols, with 70 percent having changed the layout of their workplace.

“To avoid a devastating repeat of a prolonged, slow recession, Americans need the opportunity to return to work. Our data shows that there are two factors that will enable a fast and safe return to the workplace: one, clear communication between employers and workers, and two, technological solutions such as risk stratification and symptom tracking,” said Jessica Federer, Managing Director at Huma US. “As a country, we are resilient, and we will rebound. But it will take a collective effort of us working together across industries, combined with the smart application of technology to make it happen. Together, we can not only support the recovery of our economy and our businesses but the health and wellbeing of each and every person.”

Reducing Employee Burnout During the COVID-19 Pandemic

by LizStevens | Sep 15, 2020 | Blog

Reducing employee burnout during the COVID-19 pandemic. What’s driving employee burnout during COVID-19 and what employers can do about it.

Employee burnout has skyrocketed to 58 percent, according to research by Eagle Hill Consulting. It’s up from 45 percent in the early days of the pandemic and over a third of workers attribute their burnout to circumstances related to COVID-19, up from 25 percent in April.

“This level of burnout is problematic and could increase as millions of employees continue to work from home, and many schools remain unable to fully open. We’re in this pandemic for the long haul, and employers have got to find a way to make workloads sustainable for employees and better equip managers to lead. Otherwise, companies risk harming their bottom line and brand,” said Melissa Jezior, president and chief executive officer of Eagle Hill Consulting.

Reducing Employee Burnout During the COVID-19 Pandemic

These are the top five drivers of employee burnout during the COVID-19 pandemic that Eagle Hill Consulting identified in their recent research:

47 percent of employees say their burnt out from their workload.
39 percent say it’s from balancing work and their personal life.
37 percent say it stems from a lack of communication, feedback and support.
30 percent say they’re under time pressures and expectations are unclear.
28 percent point to performance expectations.

Research from Yale University found that employees experiencing burnout reported high demands and high resources while employees who were ‘optimally’ engaged reported low to moderate demands and high resources. ‘Optimally’ engaged employees had support from their supervisors through rewards and received recognition without having to struggle with cumbersome bureaucracy, demands for concentration, or heavy workloads.

Many organizations are adapting to remote workforces during the pandemic and it’s important that they manage their expectations during the transition and provide workers with resources they need to thrive in a work-from-home environment.

Employers that want to reduce the negative impact employee burnout has on productivity, employee engagement, job satisfaction and rentention should monitor workloads and common signs of burnout (exhaustion, frustration, anxiety, inability to keep up with daily tasks) to find out when it’s time to dial demands back and expand resources. The addition of wellness programs can ease stress and help employees better maintain a work-life balance, but if demands are too high employees will still burnout.

Preparing for Virtual Open Enrollment in 2020

by LizStevens | Sep 9, 2020 | Blog

Preparing for virtual open enrollment in 2020. How employers can utilize employee data and streamline communications for successful virtual open enrollment.

Employers are preparing for virtual open enrollment as many employees continue to work remotely during the COVID-19 pandemic.

It’s more important than ever that employees make informed decisions about their benefits because many organizations have been forced to make significant changes to their benefit plans as they face new economic uncertainty. But that doesn’t mean they will. A survey by MetLife found that employees dread open enrollment almost as much as going to the DMV to renew their driver’s license and 20 percent of them spend only a few minutes reviewing benefits plans before making a selection.

In order to reduce unnecessary costs and ensure that employees enroll in the programs that best suit their needs, employers need to utilize employee data and streamline benefits communications for successful virtual enrollment.

Preparing for Virtual Open Enrollment in 2020

Managing Costs While Meeting Needs

Employers are walking a fine line as they strive to lower program costs while still meeting the needs of their employees.

Their primary challenges when it comes to healthcare cost-management are the high cost of medical services (67 percent) and specialty drugs (47 percent), according to research by Gallagher. In an effort to reduce unnecessary costs, employers are conducting audits of plan eligibility (18 percent) and claims (15 percent), as well as considering narrow provider networks (14 percent), designated centers of excellence (10 percent) and integrated health and disability management programs (9 percent).

COVID-19 has also accelerated a trend towards telemedicine as a cost-control tactic. Telemedicine provides employees with socially-distanced care options and is often less costly than standard office visits or trips to emergency rooms and urgent care facilities.

Utilizing Employee Data and Streamlining Communications

Nearly 65 percent of employers use employee-initiated feedback and 45 percent rely on satisfaction and engagement surveys to measure their communication success. Gallagher encourages employers to take a closer look at the data they have at their disposal, like web analytics and portal visits to determine what’s working and what isn’t.

When it comes to communicating for successful virtual open enrollment, employers should focus on sending smaller bite-sized benefits communications that employees can more easily digest, rather than overwhelming all-in-one emails that they’re likely to just skim, if they read them at all. It will also help to clearly identify who employees can reach out to with any questions about programs or offerings.

Open enrollment is just as stressful for employees as it is for employers and moving it fully online inevitably creates some challenges. Sending less bulky communications that break down the process without complicating it will help employees pay closer attention and enroll in the benefits that they can use most.

Why Financial Wellness Is a Must-Have Employee Benefit

Why Financial Wellness Is a Must-Have Employee Benefit

What Employees Want From Financial Wellness Programs

How Best Money Moves Can Help

More on Topics Related to Why Financial Wellness Is a Must-Have Employee Benefit

How Do You Make Open Enrollment Easier for Employees?

How Do You Make Open Enrollment Easier for Employees?

More on Topics Related to Open Enrollment and Benefits Communications

Building Your COVID-19 Return to Work Safety Plan

Building Your COVID-19 Return to Work Safety Plan

More on Topics Related to Returning to Work and the COVID-19 Pandemic

Reducing Employee Burnout During the COVID-19 Pandemic

Reducing Employee Burnout During the COVID-19 Pandemic

More on Topics Related to Employee Burnout and the COVID-19 Pandemic

Preparing for Virtual Open Enrollment in 2020

Preparing for Virtual Open Enrollment in 2020

Managing Costs While Meeting Needs

Utilizing Employee Data and Streamlining Communications

More on Topics Related to Virtual Open Enrollment and Employee Benefits

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