by It’s crazy! 75% of my time speaking with employees has nothing to do with work. It is about helping them solve their personal financial problems.
Most of my employees are musicians. And you know musicians… They know nothing about managing money.
I can remember when I went to school there was a home economics class, but no economics class. We never even learned how to write a check, much less how to balance a check book.
Most of us have learned how to sing the Do-Re-Mi as children in school. It is the language of music. It is how music is organized.
Most of us have not learned how to “sing ”the language of money in school. Money lacks an organizing structure making it easy to get lost in the noise. It is no wonder that so many people make so many poor financial decisions- the cause of financial stress and employee distraction at work.
I think of that short line in the movie Jurassic Park.-
John Hammond: I’m sorry about your financial problems Dennis, I really am. I don’t blame people for their mistakes. But I do ask that they pay for them.
And guess who shares in the payment of your employees financial mistakes?
You do. The retail music store owner.
A 2010 Federal Reserve study determined that financial stress can cost an employer an average of $5,000 per employee per year. Retention- Absenteeism, and loss of productivity. Those employees who suffered from high financial stress were $413 more costly per year on average than workers who were not at risk from stress.
Your employees may be missing an essential component to their personal happiness, which directly impacts their productivity at work: Financial Wellness.
A carefully designed Financial Wellness program can create a return on your investment (ROI) with lower employee turnover, lower healthcare costs and lower absenteeism, as well as playing a positive impact for retirement readiness for more senior employees.
A recent report issued from the American Psychological Association stated that 73% of stress is related to one’s personal finances.
It is clear that a great majority of U.S. workers have difficulty making sound financial decisions and are not saving enough for retirement. Employees often confess that financial stress is not only a distraction in the workplace, it is a far greater concern than their own personal health. Financial stress is often the culprit in the 50% divorce rate in America today.
Raising the level of employees’ financial consciousness can be helpful to improving employee satisfaction while enhancing the employer brand, an especially important component to succession planning.
Helping your employees’ improve their relationship with money can not only improve your ROI, it can also be a life changing experience for your employees.
To explore the framework of our Financial Wellness program click on Sound Financial Decisions™ a customized program especially designed to address the needs of the music retailer.
“As much money and life as you could want! The two things most human beings would choose above all – the trouble is, humans do have a knack of choosing precisely those things that are worst for them.”
― J.K. Rowling, Harry Potter and the Sorcerer’s Stone