How to build a global financial wellbeing strategy for parents and carers
The financial impact of being a parent or carer can occur at different levels.
Direct costs like medical expenses, childcare, housing, education fees and transportation are usually standard fixed costs for any carers.
What is often not as visible, however, are the indirect costs, such as reduced income, limited opportunities to invest, and the inability to make emergency savings or retirement contributions.
Caregivers juggle multiple financial ‘plates’ with little time or energy to learn how to maximise their income and benefits.
In fact, 73% of employees in the US are caregivers, a significant portion of the workforce.
With caregiving responsibilities on the rise, employers have a unique opportunity to provide support, helping parents and carers make the most of their time and salaries through inclusive, personalised financial education.
A study from the Employee Benefit Research Institute (EBRI) found that both caregivers and non-caregivers agree that their employer has a responsibility to support their mental, physical, and financial wellbeing.
This presents a strong foundation for employee wellbeing initiatives, particularly when it comes to financial wellbeing.
By supporting parents and caregivers with a robust financial wellbeing strategy, employers can reduce stress, improve mental health, and ultimately enhance employee satisfaction and productivity.
Many of nudge clients are pioneering in their support for caregivers and parent’s financial wellbeing.
We’ve gathered insights from those programs that Reward and Benefit leaders can leverage when developing global financial wellbeing strategies:
1. Personalised education
Different employee groups, including parents and carers, face unique financial pressures.
To address these challenges, launch a program tailored to various life stages and events, such as pregnancy or caring for a loved one.
Offer specific financial wellbeing training for women and caregivers, addressing issues like budgeting, saving, and investment planning.
You can engage your ERGs and internal networks to equip people with the knowledge and skills to improve their financial health and signpost others so they can take action too.
2. Accessible, on-demand training for time-poor employees
Parents and carers are often time-constrained, making it difficult to attend live financial training sessions.
To support this, you can utilise nudge’s bite-sized, on-demand financial wellbeing training for employees in specific job roles where flexibility is limited.
This on-demand approach makes it easier for employees to access the financial education they need when they choose, without disrupting their busy schedules.
3. Regular nudges to promote benefits and encourage action
Incorporate personalised ‘nudges’ into your financial wellbeing strategy, sending timely reminders about benefits such as tax credits, carer allowances and retirement contributions.
These nudges help employees to stay engaged with their benefits, resulting in an increased uptake.
These proactive, personalised steps help ensure that parents and carers are making the most of the benefits available to them.
4. Inclusive and supportive workplace culture
Make a commitment to inclusion that extends beyond financial education and create a supportive environment where employees can access resources, connect with internal networks, and share their experiences.
Utilise initiatives and awareness date campaigns to engage employees across multiple life stages.
By involving different employee communities, foster a sense of belonging and support.
Key considerations for your strategy
- Encourage money conversations: Run campaigns during Global Money Week or Carers Week to help employees share their financial challenges, fostering an open and supportive culture where they feel comfortable seeking help.
- Personalise training for parents and carers: Offer training or on-demand learning focused on budgeting, saving, and debt management, that’s designed to support the types of financial challenges caregivers face.
- Highlight benefits options: Regularly remind and educate employees about their benefits like health insurance, life insurance, and government programs. Clear communication ensures they make informed decisions for themselves and their families.
By following these strategies and learning from others, reward and benefit leaders can build a global financial wellbeing program that supports parents, carers, and other employee groups to manage their finances effectively, reduce stress, and improve overall wellbeing.
Get in touch if you are interested in learning more about how nudge can help your caregiving employee community.
Supplied by REBA Associate Member, Nudge
A leading financial wellbeing benefit using behavioural science & technology to help employees.
