(BPT) - For millions of U.S. workers, financial worries are a daily stressor that leads not only to emotional and psychological distress, but also health problems from insomnia and headaches to digestive problems, cardiovascular issues and more. Because these anxieties are so pervasive, they're not just a personal problem — they're a serious productivity crisis impacting all U.S. employers.
How pervasive are these issues? Up to 60% of employees are stressed about finances right now, causing nearly 40% to miss work due to money worries. The total impact is staggering: Employers lose an estimated $250 billion each year in productivity due to the financial stress of their employees.
"Financial anxiety is absolutely a productivity issue," said Geoff Howard, CEO of The Money Confidence Project, a nonprofit organization dedicated to helping people develop the mindset, skills and habits needed to take control of their financial futures. "More than half of U.S. employees are experiencing financial stress, and that financial stress is actually impacting their work."
Positive steps employers can take
Because many employers already are aware of this issue, companies are increasingly investing in employee financial wellness programs as part of their benefits packages. These programs typically focus on financial education materials that are passively received by employees, and may not be having the desired impact.
"Presenting employees with financial wellness programs of any kind is progress, but we still see those programs falling short," said Howard. "If conventional curriculum and tools were the solution, we wouldn't still have a problem. But these programs don't address the deeper issue: people's emotional relationship with money."
To help employers and employees address the issue more effectively, The Money Confidence Project is shifting the approach, offering business leaders a new framework centered on financial guidance, habit-building and personalized support. The program builds on the 10-year history of the Singleton Foundation for Financial Literacy and Entrepreneurship.
The principles of the program are:
1. Recognize people's relationship with money is deeply personal and emotional.
2. Know that one size doesn't fit all.
3. Leverage the power of entertainment.
4. Focus on active behavior change by building healthy habits, not just passively learning.
How The Money Confidence Project works
To provide employers with valuable, effective tools for their employees, The Money Confidence Project offers a suite of programs that help employees build healthy financial habits and take the anxiety out of money.
"We encourage people to take the steps necessary to create healthy financial habits and build their confidence with money," Howard added. "We do that through a unique set of programs that all leverage the power of entertainment."
Employers can choose one or all of these programs for the employees:
- Groove personal finance and habit-building app for people anxious about their finances. The app identifies a user's unique money personality and adapts to that. The Money Confidence Project worked with researchers from Duke University's Common Sense Lab to develop the app, which is based in real behavioral science. Groove supports individuals with personalized goals, guided learning and tools that make managing money feel approachable and achievable. Unlike traditional programs, Groove focuses on the emotional and behavioral side of money — so change actually sticks.
- Million Stories award-winning entertainment channel offers shows on getting smarter about money and helping viewers build the life they want, focusing on real stories from real individuals about their relationships with money. The channel features over 45 series, with more than 250 episodes of real stories to help break stigmas, nurture learning and inspire action.
- Venture Valley award-winning video game ignites business and entrepreneurial skills in a competitive, tournament-style video game where users actually learn financial skills through game play. Live tournament play turns financial learning into an exciting interactive experience where players compete and build confidence in a risk-free environment — learning the building blocks of business and entrepreneurship in a fun, engaging way.
"Many programs being implemented right now are one-way programs," said Howard. "And there's a lot of content about money available that isn't tailored to the individual. We focus on being able to adapt to a user's unique money personality, and offer a suite of programs that actually interacts with people, so users are responding to the apps and tools while we provide them with information."
The Money Confidence Project offers license and sponsorship opportunities in a partnership model for all their programs. Employers can license one or more of their suite of programs, then offer it as an employee benefit.
Learn more about how to help employees feel more confident and less stressed about their finances by visiting MoneyConfidenceProject.org.
