Financial stress is killing workplace productivity

Is money stress consuming your workforce? 

Despite employers' efforts to offer financial wellness benefits, provide modest wage increases year-over-year and address other mental health concerns, many employees are still barely able to keep their heads above water, according to new data from financial wellness platform Your Money Line. 

Sixty-one percent of employees say they are stressed about their finances constantly, and half say their stress negatively impacts their productivity at work. Eight-four percent say their financial stress leaves them exhausted and burned out, and a third say money concerns have had a severe impact on their mental health. 

"Employees aren't just clocking in — they're grappling with how to make ends meet," Peter Dunn, CEO of Your Money Line, said in a release. "This strain isn't just a personal issue; it's a workplace challenge that demands attention." 

Read more: The positive impacts of employee financial wellness

According to the report, employees have put off major life milestones — like buying a home, going back to school, or saving for retirement — because they feel financially stuck today. An uncertain financial situation is a reflection of how employees feel about larger economic indicators, too, as 81% are worried about losing their jobs in 2025, according to a January survey by MyPerfectResume. 

The financial pressure is reaching a boiling point, with 80% of employees saying their financial stress is holding them back from enjoying life, Your Money Line's data found. For employers, this should be a wake up call that more benefits, education and support is needed. 

"This isn't just an individual challenge — it's a collective one, impacting team morale, productivity and job satisfaction," Dunn said. "The workplace has become a pressure cooker of economic uncertainty." 

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While a report by PNC Bank found that 96% of employers feel that financial wellness benefits would improve company satisfaction and retention at their organization, less than a third of employers are currently offering these kinds of programs, according to the Transamerica Institute. Yet the cost of not offering these benefits is becoming increasingly high, as employees are increasingly disengaged from their work, and are even being pushed to "revenge quit." 

Yet these negative workplace trends could be reversed with the right support system in the workplace and beyond. Benefits like financial therapy, one-on-one advising services and other inclusive financial wellness programs are a good place to dive in. 

Read more: Making money goals helps employees achieve financial wellness 

"Money and our relationship with it impacts how we approach all other areas of well-being, from needs for basic security to ultimate meaning and purpose," Ed Coambs, a certified financial therapist and founder of Healthy Love and Money, previously told EBN. 

In addition to looking for inclusive benefits that touch on the mental impacts of financial stress, employers should focus on providing individualized support. Whether an employee is paying off loans or saving for retirement, it's important to address the full spectrum of needs throughout the entire employee lifecycle.

"As we continue to witness a growing need for improved financial literacy driven by external factors such as inflation and economic uncertainty, businesses must recognize the significant impact that poor financial well-being can have on their employees," said Tim Perkins, co-founder and CEO at nudge, a financial wellness tool. "Personalized, localized solutions can drive meaningful change and improve employee well-being."