Employer & Plan Sponsor Blog | World Investment Advisors

Why More Employers Are Investing in Financial Wellness Benefits

Written by World Investment Advisors | June 15, 2026

Employee demand for financial guidance, retirement planning support, and workplace financial wellness programs continues to grow.

For years, workplace retirement plans were viewed primarily as a benefit employees could use to save for the future. Today, however, employee expectations are evolving well beyond basic plan access.

Increasingly, workers are looking to employers not only for retirement benefits, but also for broader financial guidance, education, and support. At the same time, employers are beginning to recognize that financial wellness programs can play an important role in employee engagement, productivity, recruitment, and retention.

Recent research from the 2026 Morgan Stanley at Work State of the Workplace Financial Benefits Study highlights just how significant this shift has become. The findings suggest that financial wellness is no longer viewed as a “nice-to-have” benefit. Instead, it is increasingly becoming a core part of the overall employee experience.

Employees Increasingly Expect Financial Wellness Support

The survey data reveals that employees are actively seeking more support from employers when it comes to managing personal finances and planning for retirement. According to the study:

  • 84% of employees encountered financial issues in the past year
  • 73% say they need to accelerate their financial planning efforts
  • 79% believe their company needs to do a better job helping employees understand and maximize workplace financial benefits
  • 95% say retirement planning assistance from financial professionals is important when choosing where to work

The most common employee concerns included budgeting, financial goal setting, and retirement planning. It’s also important to note that employees are not simply asking for more information. They are looking for practical guidance that helps them make informed decisions about saving, investing, retirement readiness, and overall financial well-being.

The survey also found that employees place significant value on:

  • Goals-based investing support
  • Retirement income planning
  • Access to financial professionals
  • Help maximizing workplace financial benefits

For many employers, this reflects a broader workplace trend: employees increasingly expect benefits programs to support both short-term financial stress and long-term financial security.

How Financial Stress Affects Employee Productivity and Engagement

The growing emphasis on financial wellness is not simply about employee preferences. Employers increasingly recognize that financial stress can directly affect workplace performance. According to the Morgan Stanley study:

  • 56% of employees say financial stress negatively affects their work and personal lives
  • 80% of HR leaders believe employee financial issues negatively impact productivity
  • 53% of HR managers say stress-reducing financial benefits matter more to job satisfaction than mental, emotional, or physical wellness benefits

Financial stress can contribute to:

  • Lower productivity
  • Increased distraction
  • Higher absenteeism
  • Delayed retirement decisions
  • Reduced employee engagement

For employers, these challenges can create meaningful workforce management and cost concerns over time. As a result, many organizations are beginning to view financial wellness initiatives not merely as employee perks, but as part of a broader talent and workforce strategy.

Why Financial Wellness Benefits Support Recruitment and Retention

One of the clearest themes emerging from recent workplace research is the growing connection between financial benefits and employee retention. The Morgan Stanley study found:

  • 65% of HR executives identified hiring and retention as their company’s top strategic priority for 2026
  • 72% worry employees may leave if the company cannot offer the benefits workers want
  • 85% of employees say they would feel more invested in staying with their employer if financial benefits were tailored to their needs
  • 91% would consider changing jobs for benefits that better help them achieve their financial goals

In a competitive labor environment, employees increasingly evaluate employers based on the overall quality of workplace financial benefits — not simply salary levels. Retirement planning assistance, financial education, and access to guidance are becoming differentiators that may influence recruitment and retention outcomes.

Building an Effective Workplace Financial Wellness Program

As employee expectations evolve, many employers are evaluating how to strengthen their financial wellness and retirement education efforts. That does not necessarily mean offering every possible financial benefit. Instead, successful programs often focus on providing employees with practical, accessible, and understandable resources that address real-world financial concerns.

Areas employers may consider include:

Expanding Financial Education. Traditional enrollment meetings alone may no longer be enough. Employees often benefit from ongoing education covering topics such as:

  • Retirement readiness
  • Budgeting and debt management
  • Emergency savings
  • Investment basics
  • Healthcare costs in retirement
  • Social Security and retirement income planning

Educational efforts may be most effective when delivered throughout the year rather than only during open enrollment periods.

Improving Access to Advice and Guidance. Employees increasingly value access to financial professionals and personalized support. This may include:

  • One-on-one retirement consultations
  • Managed account solutions
  • Financial coaching programs
  • Interactive planning tools
  • Online calculators and retirement income projections

Many employees want help translating retirement plan participation into actionable long-term financial strategies.

Simplifying the Employee Experience. Even strong benefits programs may lose impact if employees struggle to understand or use them effectively. Employers should evaluate whether:

  • Communications are clear and engaging
  • Educational materials are easy to access
  • Digital tools are user-friendly
  • Benefits messaging feels relevant to employees’ life stages and needs

In many cases, simplifying communication can significantly improve employee engagement.

The Role of a Retirement Plan Advisor in Financial Wellness Programs

As workplace financial wellness becomes more important, retirement plan advisors can play a valuable role in helping employers evaluate and strengthen their overall strategy. A retirement plan advisor can help employers:

  • Assess employee financial wellness needs
  • Review participant engagement data
  • Develop education strategies
  • Identify gaps in current benefits offerings
  • Coordinate employee workshops and seminars
  • Evaluate financial wellness technology tools
  • Improve retirement readiness initiatives

Advisors can also help employers create programs that are realistic, sustainable, and aligned with workforce demographics and organizational goals.

For many plan sponsors, the challenge is no longer deciding whether financial wellness matters. The challenge is determining how to deliver meaningful support in a way employees will actually use and value.

Informational Resources: Morgan Stanley at Work: “State of the Workplace 2026 Financial Benefits Study” (May 18, 2026); NAPA (National Association of Plan Advisers): “Economic Uncertainty Fuels Demand for Workplace Financial Guidance” (May 19, 2026); Planadviser: “Financial Wellness Inextricably Linked to Employee Wellness” (March 9, 2026).

Kmotion, Inc., 12336 SE Scherrer Street, Happy Valley, OR 97086; 877-306-5055; www.kmotion.com

©2026 Kmotion, Inc. This newsletter is a publication of Kmotion, Inc., whose role is solely that of publisher. The articles and opinions in this publication are for general information only and are not intended to provide tax or legal advice or recommendations for any particular situation or type of retirement plan. Nothing in this publication should be construed as legal or tax guidance, nor as the sole authority on any regulation, law, or ruling as it applies to a specific plan or situation. Plan sponsors should always consult the plan’s legal counsel or tax advisor for advice regarding plan-specific issues.

This material is intended to provide general financial education and is not written or intended as tax or legal advice and may not be relied upon for purposes of avoiding any Federal tax penalties. Individuals are encouraged to seek advice from their own tax or legal counsel. Individuals involved in the estate planning process should work with an estate planning team, including their own personal legal or tax counsel.