Canadian HR Reporter

www.hrreporter.com 29 Judith Mewhort is managing partner at Montridge Advisory Group in Vancouver. She can be reached at (604) 682-1603 or judith@montridge.com. should know how to do this even though they were never taught about it at home or in school. While there is a plethora of informa- tion on the internet, people still prefer to learn from people. Running lunch 'n' learn sessions where questions can be asked and real people provide real answers often will spur employees to learn more. Benefits advisors either have the resources to run sessions or can provide referrals. Common topics include: managing debt; learning to budget; establishing goals; saving for retirement; and learning to invest. Give tips to avoid common credit pitfalls: This can entail weekly tips posted on the company intranet or via text or email blasts. It can involve simple things such as: • "Remember to pay your bills on time." • "Credit cards are expensive. Interest rates are commonly 18 per cent or higher so pay your balance each month." • "Try to pay more than the minimum owing." • "Avoid using credit to pay credit." • "Shop around for the best mort- gage terms for you. Look beyond the interest rate." Help employees save: Help staff to save by offering automatic payroll deductions into a short-term savings account, tax-free savings account (TFSA), RRSP or all three. The cost of setting up programs is generally minimal. M a ke co n t r i b u t i o n s : B e y o n d setting up payroll deduction programs, consider contributing to retirement or other savings programs as part of the benefits offering. Employees are far more likely to save their own money when an employer offers a matching contribution. Savings programs are one of the most requested benefits by employees. A two-per-cent contribution to a retirement plan is often seen as more impactful than a two-per-cent raise. That is likely because the secret to finan- cial success is not how much money people earn but how much money they save. Having a financial cushion greatly reduces stress. Consider a loan repayment program: Another practical addi- tion to an employee benefits program is a student loan repayment program. Recent university grads are often short- term hires. Helping employees new to the workforce will often generate greater loyalty and reduce turnover, thus reducing costs. Make it fun: Gamification is one of the best ways to engage staff and help them to learn. There are numerous apps and programs available to help people learn more about budgeting, saving and investing. Two examples, which are aimed at teens but fun for all ages, are Financial Football and the digital version of The Game of Life. Providing the tools Talking about money is one of the last taboos in polite conversation, which is why many employers hesitate to enter into the financial wellness arena. However, there is a distinct difference between sharing income information or showing off an expensive purchase versus providing employees with tools to help them to be financially well. Financial health is a significant component of mental health. Assisting staff to understand the building blocks of financial planning — to help them reduce debt and save more — will go a long way to reducing financial stress and anxiety. This will reward employers with reduced absenteeism, increased loyalty and greater productivity. CHRR

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