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Offer competitive, matched retirementplanning options. Retirementplanning is one of the most common employee benefits offered by employers, specifically a 401(k) matching plan. Employer-sponsered emergency savings accounts may be funded similarly to 401(k) accounts.
According to a study conducted by the Department of Labor, only 40% of Americans have calculated the amount they need to save for retirement. Employers can emphasize this by using 401(k) or other retirementplans. Employers that utilize these plans are desirable to potential new hires.
However, in today’s modern workplace, equipping employees with the know-how they need to make informed decisions regarding various aspects of their financial lives is often neglected. Personal financial advice: Money matters often require a personalized approach, especially as everyone’s situation is different.
Supplemental pay – This offering shows the workforce that the company is committed to charting a path to their employees' financial wellbeing. Supplemental income includes stock options, 401 (k) plans, bonuses, etc. Q: How can employers evaluate the financial wellbeing of their staff?
According to a 2022 survey by the Society for Human Resource Management, only 21% of employers currently offer non-retirementfinancial benefits. However, companies are increasingly recognizing the importance of addressing their employees’ financial well-being beyond retirementplanning.
(When employees feel good about their finances, they are statistically happier — 84% vs. 55% — and more engaged — 78% vs. 53% — than their financially stressed counterparts. There are many ways to promote financial wellness in the workplace , such as offering free financialcounseling or access to budgeting apps.
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