Promoting your package: Reintroducing the full spectrum of your benefits to workers

With the new school year fully underway, and as the air grows crisp, we become more focused on benefits education. Along with awareness campaigns regarding workplace benefits that support students, parents, and families, reintroducing employees to the full spectrum of your offerings during open enrollment—as well as the many ways your offerings can be used to boost overall financial health—is key.

Whether your employees are focused on education or other goals, take this scholastic season to reinforce the message that your benefits can help them build a brighter future for themselves and their families. Here are two powerful themes that can help you educate and engage employees more holistically this fall:

#1: Federal student loan repayment help is here

According to the College Board, 45% of the $1.59 trillion outstanding federal loan balance as of March 2021 was held by 10% of borrowers who owed $80,000 or more; 13% was held by 54% of borrowers who owed under $20,000, and 23% was held by borrowers aged 50 years or older. It’s likely these categories of borrowers include some of your workplace benefits participants. Some may even qualify for Biden’s federal student loan forgiveness, although that program is currently on hold. Or be unaware of the pandemic-era student-loan payment pause that has now been extended through June 30.

Whether or not your participants qualify for federal student loan forgiveness, many are grappling with education costs. In fact, our Workplace Benefits Study found that nearly 1 in 3 HR executives and 1 in 4 employees agree that student loan repayment is an essential area when it comes to helping employees meet personal financial goals. Fortunately, the CARES Act allows employers to pay up to $5,250 tax-free per employee, per year, toward student loans—which can make it simpler for employers to offer student loan repayment as a benefit and help employees make a real dent in their debt.

Related: Student loan relief plan offers pivotal opportunity to advance worker financial security

So, either way, it’s important to position your organization as an authority and resource on the topic of education expenses. For example, you may want to supplement general on-demand and live benefits education seminars with fact sheets on how to find out more about qualifying for federal loan forgiveness through the new policy, or offer trainings on the pros and cons of consolidating remaining student loans or balancing debt repayment against long-term goals like retirement. You can also provide direction on where employees can find additional support and find answers to their questions, such as through the Consumer Financial Protection Bureau or the Institute of Student Loan Advisors.

#2: Workplace benefits are essential to employees’ everyday life

In addition to highlighting any school-related benefits like tuition reimbursement, childcare coverage, and student debt repayment or college savings programs, make sure that employees understand how your complete benefits offering works together to support them in making progress on a wide range of personal financial goals. We’ve found that 83% of employees want their employer to be more involved with helping them through financial challenges, so you should have a receptive audience.

The way you position your messaging and educational resources to connect your wider benefits offering to an employee’s long-term trajectory makes a huge difference. Your participants may not fully realize the connection between the various pieces of their financial lives and the various benefits on tap in the workplace, so build that bridge for them. Financial wellness benefits and education provide an opportunity to put the pieces together and teach them to apply their full range of workplace to their personal financial needs. For example, did you know that 29% of people with student loan debt are delaying saving for retirement, or that nearly 3 in 5 employees in the US have reduced their contributions to savings accounts—especially millennials? While a competitive 401(k) matching benefit may be table stakes, it takes more than that to get folks in strong financial shape to last their whole life. In this case, you might flag how budgeting with a financial coach, taking advantage of workplace discount programs, or leveraging equity compensation can help employees balance short-term bills with long-term savings.

Any high-touch, ongoing support you offer through workplace benefits—such as access to a financial coach or financial advisor—can help employees navigate a wide range of needs. Financial professionals are an especially valuable resource to offer employees who want help on matters like forming a realistic budget, increasing financial literacy, adapting financial habits to changing circumstances, navigating tough household conversations about money, finding creative areas to trim expenses, tapping into helpful mobile apps or online financial tools, or taking fuller advantage of workplace benefits. Most of all, a financial coach can help individuals learn the skills to make better-informed decisions for better financial self-care.

Also remember that your employees belong to families and communities that need their support. Since back-to-school season this year coincides with a return to the office for many organizations, highlight how your company will ease the transition. Beyond flexible hours or hybrid work policies, benefits like backup care or health savings accounts (HSAs) can go a long way toward making room for your employees and their loved ones thrive. Additionally, access to resources like legal or tax professionals through benefits can expand their support system and help them keep costs down. Also make sure to flag any do-it-yourself tools on hand, like debt calculators, that can help employees gain mastery over their individual situation.

Let’s zoom out for the big picture here: It may or may not be a long time since your employees have sat in a classroom, but the school season is an opportunity to help them learn a new way to engage with all the benefits your company offers. Whether it’s pre-tax transit benefits, mental health support, financial coaching, education costs, or retirement, if you can help your employees plug into their benefits with a holistic perspective, they can discover new tactics and tools that empower them to build a healthier financial life.

Aaron Harding is Managing Director, Financial Wellness at Morgan Stanley at Work.