If corporate executives were asked if they offer financial wellness programs within their organization, many would believe they are. A representative from the company that manages the 401K plan holds meetings with the staff annually. The executives are checking the box for financial wellness based solely on this activity.
Even though these annual meetings are occurring, it is important to examine whether the time spent is effective for the employee. Most people are not asking the right questions about their retirement savings progress, and in fact may not even be asking any questions at all.
People cannot focus on retirement planning because they are worried about their immediate needs. Two-thirds of Americans live paycheck to paycheck. They are trying to figure out how to make ends meet from month to month. Most feel very pessimistic about retirement because of their current financial struggles.
The foundation of basic money management skills is lacking. True financial wellness programs address fundamental money management skills, such as saving and using a budget. With access to better information, people can make behavior changes around money that will lessen the day-to-day burden. Once people feel they are in control of their money, planning for the future becomes a priority. There is also a better understanding of the retirement planning process once that foundation is set.
Selecting the right financial wellness program partner is essential. Financial wellness does not look the same for every organization. Gold Standard Financial Wellness Company is committed to defining the needs of an organization and then customizing a program that meets those needs. Contact Amy Vetrone at firstname.lastname@example.org to start working on a plan today to help strengthen the biggest asset of your company, its people.