Is Your Team Focused on Their Work or Their Wallets?
One of the primary goals of every organization is to build an outstanding company culture. To reach that goal, you communicate with your team members, fight the enemies of unity, and build loyalty by never forgetting that people matter.
And, if you truly believe people matter, you have to go further than simply knowing their names and what their job is at the company. It means you care for them as people. You encourage them to grow both personally and professionally. You give them grace when they experience tough times on the job and at home. And you celebrate professional and personal achievements with them.
Maybe you’ve noticed a theme here: Your team’s personal and professional lives go hand in hand. They’re simply two sides of the same coin. So you can be sure that when your team members are stressed about money problems, it will have an effect on their work.
Your Team Is in Financial Distress
Employee surveys show that as many as 40% of your team members are broke. With a quarter of their paychecks going to monthly debt payments, saving money is nearly impossible. Almost two-thirds of your team members can’t cover a $1,000 emergency. More than half have less than $10,000 saved for retirement.
As a result, nearly half of your workforce spends part of their workday focused on financial problems instead of their work. Almost 30% spend an average of two hours a week dealing with money issues, and some estimates say financial problems can decrease a worker's productivity by as much as 20 hours per month.
The strain of constant money concerns can also affect your team members’ health, leading to higher healthcare costs. Nearly one-third of workers already put off medical treatment in the last 12 months simply because they can’t afford it.
None of these problems have anything to do with how much you pay your team members. People making six figures often have the same money issues as people earning less than the average salary because they’re simply not intentional about how they spend their income!
What Can You Do to Help?
Aside from offering a workplace retirement plan and the standard retirement education your plan provides, you may wonder what else you can do to help your team members improve their financial outlook and, by extension, your company’s culture.
A good 401(k) plan and solid retirement education are essential tools your team members need for a secure retirement, but as you can see from the stats above, the majority of your workforce is unable to take advantage of them. They’re drowning in debt and are simply trying to make ends meet. They can’t think about tomorrow’s financial challenges because they’re too focused on today’s.
With a holistic approach to retirement education that focuses on changing the behaviors that are keeping your team members from winning with money, you can help them overcome their immediate and future money problems.