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Employers stand a better chance at retaining their staff when offering them financial wellness benefits and access to other new and emerging benefits.  The Society for Human Resource Management (SHRM) reported that on average it costs a company 6 to 9 months of an employee’s salary to find a replacement. Let’s look at an example.  For an employee making $60,000 per year, that comes out to approximately $30,000 – $45,000 in recruiting and training costs. For some workers, a decrease in money troubles is a life-changing dynamic. Employee retention is higher when financial stress does not exist. When financial literacy increases, employees are less likely to look for greener pastures elsewhere.

The following are some of the benefit programs for your business that are worth exploring.

Student Loan Repayment Assistance

The average American student loan debt is around $30,000 and takes two decades to pay. Undoubtedly, going to school is a major investment. A goal of your employees should be to pay off their loans as soon as possible. With an average interest rate of 5.8 percent (federal and private combined), the cost of a slow repayment can add up fast.

Employees can receive up to $5,250 tax-free toward student loan repayment per tax year. This income top-up alternative is beneficial to both the employer and the employee, making student loan repayment assistance one of the best benefit programs for your business.

For employers, Student Aid’s “Tax Benefits for Higher Education” goes in depth on this subject.

Financial Wellness Programs in the Workplace

There’s no arguing against it: financial wellness programs absolutely have a role in the workplace. Financial literacy is not a subject taught in school. With financial literacy courses, an employee learns how to handle cash while working or budgeting paychecks.

Most Americans learn the hard way. Statistics show that only 25 to 33 percent of people understand basic financial concepts. By introducing financial workplace wellness programs into your company’s benefits program, you can provide life-changing knowledge to your staff. 

Employees are more likely to look for work elsewhere when funds are tight. Financial wellness programs teach money management and growth. Employee retention rates are higher when employees know how to avoid financial adversity. By educating your team, you reduce stress and prevent low morale.

Related: How Employers Can Help End Employee Financial Distress

Financial wellness programs focus on all of the following:

  • Budgeting
  • Credit building
  • Crisis management
  • Debt reduction
  • Student loan repayment

If you choose to add wellness programs to the employee benefit package for your business, consider a third-party service. Employees may not want financial advice directly from their employer, so providing a third-party benefit will help ensure the highest program enrollment number possible.

Flexible and Remote Scheduling Opportunities

Recent world conditions are changing the way businesses administer work. Companies are turning to work-from-home arrangements to sustain productivity. The unsuspecting result: flexible schedules for all.

While 100 percent remote might not be possible, a mixture of at-home and in-person environments has its perks. Most notably, employees will have more control over the scheduling of personal and work-related affairs.

Paid Time Off for Charity Work 

A growing trend is volunteer time off (VTO). This version of paid time off provides compensation for employees taking part in select volunteering activities.

This employee benefit is worth looking into because volunteering increases one’s mental wellbeing. People who volunteer experience a boost in mood. Also, most people report that repetitive charitable behaviors keep stress away.

The Right Financial Workplace Wellness Program

Opportunities are abundant in the employee benefits sector. The statistics show that these up-and-coming benefit programs are worth adding to your business. Educate yourself on what you can do to help your employees afford more and stress less. Supporting your staff helps with retention and maximizes workplace performance.

Get in touch with 101 Financial Workplace Wellness to learn more about how financial education benefits can have a positive impact on your team. 

Related: The free ebook Understanding Financial Wellness in the Workplace explains financial wellness as an employee benefit.