Financial stress doesn't discriminate. The right
New survey results from financial services firm Equitable show that thanks to
Benefits professionals can help make these goals a reality even if employees are in between open enrollments, says Stephanie Shields, Equitable's head of benefits. The key is teaching them how to unlock all the ways their benefits can put money back in their pockets.
"Employees can only use their benefits and get value out of them if they understand them," she says. "Employers have an opportunity to help educate their workforce on ways they can help optimize the benefits they're already offering and the programs they have to fight the impact on their wallet from inflation."
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Financial well-being at every life stage
Shields points to benefits that allow employees to save and spend smarter, such as FSAs, HSAs, budgeting tools and access to expert financial planning services. She notes that employers should be mindful of their workforce's life stages, and walk them through the advantages of different benefits as their needs change: For example, younger employees may need things like education reimbursement or mortgage assistance, those in midlife may be looking for help with debt reduction or college savings plans, and those in later stages can often use retirement planning and increased medical coverage.
When employees are more financially sound, they are better prepared for unplanned events, such as injury or illness. To make them even more secure, employers can offer health benefits such as accident, critical illness and hospital indemnity insurance. These supplemental benefits can come in especially handy for employees with high deductibles, as well as factors that increase the chance of an unexpected medical issue.
"I have three children, they have sports injuries and accidents, and it's really expensive," Shields says. "I have an accident plan. I've filed claims to cover some of these unexpected costs, and we cut them back significantly. We [also] have a second opinion benefit; I've used it a couple times to make sure I'm making informed choices about different care options. I just used it for knee surgery not that long ago. I've saved a lot of energy and money because I use some of the benefits my employer offers me in those areas."
Voluntary benefits do 'double duty'
Shields notes that many of these are voluntary benefits, meaning no cost to the employer, and some do double duty, such as hospital indemnity, which can cover both planned and unplanned hospital stays.
"[A] supplemental health product suite is one of the only benefits that pays money directly to the employee," she says. "It's money in their pocket, and they can use it for lost wages or medical bills, but even other things like the costs associated with transportation or devices for their care if they had surgery. It's expensive, and those dollars go right back into their account to use as they see fit, so that really helps give them peace of mind during those times."
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Communication strategies bridge the financial wellness gap
Ongoing and engaging communication tactics, from personalized touchpoints with benefits professionals to mailers with QR codes that allow employees to access short, informative videos, are the best ways to reach employees, Shields says. When open enrollment does come around, employees should have access to multiple types of informative material and an HR team member who can answer any questions and offer guidance.
Managers can be an invaluable resource as well, opening the door for benefits conversations with their team members, reminding them to use a benefits calculator and directing them to experts within the company, says Shields. Employers can set managers up for success by providing actionable steps for them to follow.
"The more simple you make it for managers, the more likely they're going to follow through," Shields says. "In my own team, we provide our managers with a monthly agenda of things we want them to cover at their team meetings. It gives them content they can then add to, but we know a consistent message goes out to every single team."
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Building financial confidence
When employers help their workforce understand how their benefits can support their financial well-being, employees can confidently manage their everyday expenses and be better prepared when unpredictable events come their way.
"The unexpected hits everyone," Shields says. "Regardless of your income or generational stage, regardless of your background or needs, there is something within the benefits package that can help you during those times."
