Importance Of Financial Wellness | Australian Financial Wellness

Introduction on Financial Wellness: Why is it important?

In this day and age – in fact in any day and age – financial wellness is an essential, admirable goal involved in living a good life. Ensuring that you and your loved ones are well taken care of – in fact, will be well taken care of for the long haul – is an essential part of modern life. However, this can often be a subtle and nuanced idea.

Many people believe financial wellness is only present when either an individual or family are exceedingly well-off – when their obvious financial wellness and wellbeing are constantly put on display for all to see. But often, appearances can be deceiving. Not every ostentatious person is actually practicing a lifestyle of sustainable financial wellness. Therefore, it is vital to understand exactly what practicing a lifestyle of sustainable financial wellness actually looks like – and how we can practically incorporate some of those principles into our own financial lives moving forward into both the near and far future.

Indeed, the practice of financial wellness and wellbeing involves making smart decisions with our finances – in a measured and principled manner. Without financial principles – each battering wave of market and commercial uncertainty would send us careening from one wildly different manner of handling, investing, and otherwise taking care of money to another. To remain stable and steady throughout the inevitable and constant chaos of financial life is a vital skill to learn – but a more vital skill to keep practicing in the long run.

Why should an employer invest in a culture of financial wellness for their employees?

For an employer to commit to a regimen of financial wellness for their employees would be a wonderful way to help foster increased financial management skills. Of course, these increased financial management skills would help your employees in their own private financial lives – but more importantly for you – when it comes to work and the financial life of your overall business – it would be wise to invest in training people in how to be responsible with the management of the finances of your very own company! This continued and growing cultivation of financial sense among your employees would go a long way towards bolstering your company’s bottom line. A company filled with financially healthy individuals will foster a culture of financial health – which can only go towards enriching your company’s present and future overall. Just a little bit of investment in such smart financing will no doubt go a long way!

Indeed, according to a study put forth by Northwestern Mutual, 44% of Americans find finances to be among their top stressors in life overall. Indeed, mental health and financial wellbeing have often been linked within scientific studies on the matter. Therefore, doesn’t it go without saying that employees who commit to a lifestyle of financial wellness and overall wellbeing will be less stressed, less mentally burdened than those who do not? Most importantly – as their employer – shouldn’t your number one goal be to ensure the boosting of their productivity? If these stressors are mitigated or even eliminated altogether – won’t that release them to become even more productive cogs in your corporate wonderland?

It’s now wonder that many large mega-corporations have invested in similar financial wellness programs and regimens for their employees. Some corporations even offer these sorts of programs as part of their overall employment and business plans. There is room for growth here among small and medium-sized businesses. Time to get on it – while the getting is still hot!

All these benefits of employee financial wellness and overall wellbeing can be yours – if you simply understand how your business can take advantage of such an opportunity.

What type of wellness program is right for your staff?

When it comes to the installation of the perfect wellness programs for your staff – it is vital to understand just exactly what sorts of wellness programs your staff will best respond to in the first place. What sorts of programs do you foresee them being stimulated by best? These programs are designed to foster a culture of financial wellness and wellbeing – but many attack the problem from different vectors. The trick is deciphering which one will work best for your specific employees and business.

Traditional delivery options: These can include slideshows and lectures - which are great in certain circumstances - but not in others.
Onsite workshops: These can get your employees moving and thinking towards the cultivation of a culture of financial wellness.
Recurring coaching: This can foster an ongoing relationship between your employees and an overall lifestyle of financial wellness.
Webinars: If your employees work from home - webinars are a perfect option for fostering a culture of financial wellness.
Higher Education: Such college courses can steer your employees towards a greater understanding of financial wellness.
Printed literature: If certain members of your workforce get more from reading then any other kind of media - this certainly remains an option as well.
How to pick the right options: This will all depend upon the specific makeup of the employees which make up your small to midsize business.

Elements of Financial Wellbeing

If you wish to foster a culture of financial wellbeing within your business, it is important to familiarize yourself with certain elements of such principles of financial wellbeing – as listed below.

Controlling

Ensure each aspect of the organization is following the established plan. This is not so much a tyrannical proposition as it is a guiding principle – so you can steer your employees into the sorts of productive cogs you require.

Organizing and directing

Decide on what resources are necessary to effectively carry out the plan. If given the right tools, employees can begin to make these decisions for themselves – on their own.

Decision making

Again, implementing and cultivating a culture of financial wellness will encourage such active and careful decision making among your various employees.

Implementing a financial plan

This will help them do so within their own personal financial lives as well – which will ease stress levels among them tremendously.

Save, invest, make your money work for you

These essential principles are vital to getting your employees to understand how to engage in a lifetime and lifestyle of financial wellness.

If you don’t find a way to make money while you sleep, you will work… – Warren Buffet.

This is a great quote to introduce your employees to. Not only can they apply this to their own financial lives – but they can begin to apply such principles to your overall business.

Equities

A great way to generate a stable amount of money in a responsible manner.

Debt & Bonds

These tried and true processes are a great way to leverage stable assets in an unstable world.

Real Estate

The acquisition of land has also been a time honored way to accumulate wealth down the centuries.

Speculative assets

A less stable proposition – and one which it is vital to advise against – if you are seeking your employees’ overall financial wellness.

Understanding good debt and bad debt

This can be pivotal – both within the personal lives of your employees but also for their actions within the financial life of your own company as well.

How to generate actions

Ensure your employees understand these principles in order to lead lifestyles of financial wellness.

Connect: Community & the fostering of contacts is essential in the pursuit of the accumulation of wealth
Be Active: Make sure they are ready for any sort of opportunities which may come their way.
Take Notice: This goes part and parcel with the above - but it is important to be aware of and react to the ever changing whims of the market.
Keep Learning: As always, we can always each keep learning more - and adding to our vast communal knowledge of financial wellness.
Give: This is an important imperative - as what goes around comes around. You have to give in order to receive.

Financial Wellness