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Chronic stress takes a toll on overall health and wellbeing. Unchecked it can cause a host of physical and mental health issues including depression and anxiety, insomnia, weight gain, inability to focus, high blood pressure, heart disease, stroke, reduced physical activity and poor nutrition. The link between what happens in the mind and what happens in the body is well-researched, and behavioral scientists and other experts have long worked to help people understand the correlation between physical health and mental health.
The undeniable link between physical and financial health
Given that physical health and mental health are interlinked, it is concerning that 71% of employees say their top source of stress is due to their financial health. In a recent survey of US employees 75% say they are stressed about their finances and almost one-third of Americans said they have skipped medical care due to financial concerns. Americans are facing unprecedented levels of debt, have insufficient emergency funds and have not enough saved for retirement. In addition, we're facing the highest inflation rates in decades, which accentuates the need to focus on these issues.
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Adding to the uncertainty of overall health and wellbeing in the future, people are living longer than ever before, but in poorer health. The gap between our lifespan (life expectancy) and our healthspan (the number of years lived in good health) is widening, which has implications for our "wealthspan" (how long our money will last). Living longer necessitates additional retirement savings and living longer in poorer health will necessitate covering additional health care costs. Further, one's ability to work for as long or as well as one thought will also be hampered by this increasing gap in healthspan.
The critical role of employers
It doesn't have to be this way. We know there is a positive correlation between engagement in healthy lifestyle activities and financial health – and an even stronger association when good financial behaviors are incorporated. While making good choices is challenging when it comes to physical, mental, and financial health, employers are in a unique position to help their employees address not only their overall health, but also their financial health. This is because many of the most important financial decisions one makes – such as which health insurance plan to enroll in, how much to contribute to a 401k, whether to sign up for an HSA plan or apply for tuition reimbursement – occur in the workplace.
The first step is a well-implemented employee wellness program. Helping employees get healthier allows them to pull all the levers necessary to improve financial health: spending less, saving more and retiring later. Employees spend less, as getting healthier helps to reduce medical costs both now and later in retirement. They save more, as getting healthier helps to improve productivity, and they retire later, as those who are physically active have a higher likelihood of being able to work longer and delay retirement.
Then, personalized financial support is needed with digital tools, tailored education and expert personalized coaching to help employees navigate the immediate financial challenges they are facing and setup a path to financial freedom. The combination of a wellness program and targeted financial support can help address the urgent financial issues facing people in the workplace and improve the physical, mental, and financial health of the workforce.
Physical, mental and financial wellness are inextricably linked. Improving them can not only improve the lives of employees but also have profound organizational impacts on productivity, health care costs and talent attraction and retention. To do this requires employers to think holistically about the wellbeing of their employees and employ the right technology and personalized programs to support their employees and improve their health and wellbeing.
Tanya Little, Chief Commercial Officer for Vitality, and Dan Comisar, Strategy and Growth Officer for BrightDime.
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