How much value is there in financial education in the workplace?

With such a wide diversity of financial products and services available many employees simply do not understand, or are unable to find out, what their options are and how best to manage their financial goals.

By Craig Hugo, employee benefits consultant, Taylor Patterson

The government is keen to see a change in the way in which we manage our money and the way in which we financially provide for ourselves throughout our lifetimes.

As a result, employees are now faced with complex and technical products and services whose true value they sometimes struggle to understand.

A recent survey by the insurer AXA found that 70% of people admit to spending time thinking about their finances instead of working, and 5% of employees have taken time off work during the past year because of money worries. Studies show greater insight into the UK workforce and their current motivating and de-motivating factors:

24% name employee benefits that focus on long-term financial welfare as the top motivating factor. 64% of UK employees have never received any personal financial education. 44% of UK employees said major life events were the last time that new financial knowledge was gained. 80% of employees would like help from their employer to understand their finances. 58% of employees do not expect to have enough income when they retire. But what is the impact on those individuals working in our offices, shops and factories? 18% of employees often lose sleep worrying about their finances 20% said financial worries often interfere with their work 46% of employees worry about their finances 74% of human resources and benefits professionals said that financial education improves business performance Are you interested in providing financial education and support to your staff?