How serious is the problem of financial stress? Seventy-seven percent of Americans live paycheck to paycheck,  41% give themselves a C, D or F in personal finance,  and 28% don’t pay their bills on time,  according to citations in a recent white paper from Financial Fitness Group.
The situation has a serious impact today, and perhaps a worse one tomorrow, considering estimates that about 1/3 of working Americans have no retirement savings. The cost to employers of employee financial stress, according to one source cited in the paper, may be $15,000 per employee per year. 
But there is good news: employers are in the best position to make an impact on the numbers. Combining financial literacy education as a regular part of 401(k) plan communication can lead to changes in behavior. In turn, these changes may lead to better financial stability for employees during, and after, their working years.
If you plan to offer employees a program of financial education, be sure the one you choose is engaging and interactive. The information should be easily accessible and flexible, too. Both can be achieved through web-based tools the employee can use whenever and wherever individual circumstances allow.
Securities offered through LPL Financial, Member FINRA and SIPC. Investment Advisory Services offered through ISG Financial Advisors, a registered investment advisor. ISG Financial Advisors and LPL Financial are separate non-affiliated entities.
For plan sponsor use only, not for use with participants or the general public. This information is not intended as authoritative guidance or tax or legal advice. You should consult with your attorney or tax advisor for guidance on your specific situation.
Content sourced from © 2018 Kmotion, Inc., 412 Beavercreek Road, Suite 611, Oregon City, OR 97045; www.kmotion.com
GRP Advisor Alliance is an independent network of retirement plan focused advisors. GRP Advisor Alliance is not affiliated with or endorsed by LPL Financial. LPL Financial and Financial Finesse are not affiliated entities.
The LPL Financial Registered Representatives associated with this site may only discuss and/or transact securities business with residents of the following states: FL, IA, IL, MA, MI, MN, OR, WI