Financial wellness programs offer employees a way to plan for their futures and ease the burden of organizing personal finances. A recent survey found that 83 percent of employers offer some form of financial wellness programs and 14 percent plan to implement a program within the next two years.
It can be challenging to find the budget for a robust financial wellness program, but with an ROI of $7 for every dollar invested, these initiatives are well worth the investment. If you’re looking to start a program or improve your existing offering, there are a number of options for funding these programs:
Direct payments: The simplest way to pay for a financial wellness program is from funds set aside in your annual wellness budget. This direct payment may assist in a more immediate roll-out of the program rather than having to research alternative payment methods.
Use ERISA: If your company has an ERISA budget for retirement and other financial services, then funds may be available to pay for financial wellness programs and services. Once all administrative and legal expenses are deducted from ERISA plans, the remaining balances are placed into a separate account that employers can utilize to provide resources to employees. Ask your plan adviser if there is an available ERISA budget and what services can be paid for with it.
Health insurance plans: Some health insurance providers have funds available for other wellness programs. Because a nexus has been identified between employee’s financial health and an employee’s mental health, some health insurance providers may include financial wellness programs as part of an overall employee wellness plan. Talk to your provider and ask if they will consider providing a financial wellness program.
Continuing education budget: Many employers offer continuing education and professional development programs to help employees grow personally and professionally. Research whether this budget would cover personal financial education such as budgeting, retirement savings, managing health care costs, saving for college education and tax advice.
Wellness Workdays helps organizations throughout the country improve physical, emotional and financial health. If you’re looking for ideas to fund a wellness program – or increase funding for an existing program – download our complimentary webinar “How to Finance Your Employee Health and Wellness Program.”
HR Daily Advisor