iGrad and Wellable 2020 Employee Financial Wellness Report Reveals Older

Workers and Millennials Struggling Most

The financial wellness of U.S. employees is precarious, especially among millennials and those
nearing retirement age, according to the new 2020 Employee Financial Wellness Report by iGrad
and Wellable.

San Diego, CA, November 13, 2019 --(PR.com)-- The financial wellness of U.S. employees is
precarious, especially among millennials and those nearing retirement age, according to the new 2020
Employee Financial Wellness Report by iGrad and Wellable.

Based on results from a June 2019 survey of more than 1,000 U.S. employees between the ages of 18 and
70, the 2020 Employee Financial Wellness Report reveals important trends in financial wellness and how
companies can deliver optimized solutions to employees.

Nearly 60 percent of the report's respondents stated that they are not financially well, indicating that they
would benefit from a financial wellness program. This statistic is aligned with a recent PwC report
indicating that 60 percent of U.S. employees say they are financially stressed, more than all other life
stressors combined. (1)

Studies show that financially stressed employees are less productive and more distracted at work as well
as have poorer relationships with co-workers, higher rates of absenteeism and more on-the-job accidents.
Financial stress has been linked to post-traumatic stress disorder (2), substance abuse disorder and suicide
(3), and mental health disorders (4), especially among millennials.

U.S. businesses are losing $500 billion a year because of employees' personal financial stress, according
to Salary Finance. (5)

One of the most alarming statistics revealed by the iGrad/Wellable survey: one-third of employees rapidly
nearing retirement (ages 55 to 64) consider themselves financially unwell, meaning they likely don't have
enough saved for retirement. Nearly 60 percent of finance executives say delayed retirements can be
attributed to lack of retirement savings, according to the PwC report.

Delayed retirements can be expensive for employers, with increased annual costs of 1 to 1.5 percent.
Workers delaying retirement usually have more paid sick leave and vacation days along with higher life,
disability, and health insurance costs.

Struggling millennials also are impacted by delayed retirements. People staying in the workforce longer
has a trickle-down effect on younger employees who have fewer opportunities for advancement, leaving
them with stagnant wages on top of student loan debt. Studies show young adults are delaying buying a
home and starting families because of this combination of financial factors.

Even though they could build significant wealth by starting to save for retirement early, younger

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employees are more concerned with tuition reimbursement and student loan-related benefits than they are
with 401K benefits, the survey found.

In fact, 401K programs are almost twice as popular with employees over age 65 (81 percent) than with
those ages 18 to 24 (39 percent), even though older employees have far less time to accumulate wealth.

Student loan debt is a well-founded concern that burdens about one-third of adults ages 18 to 29 and
one-fifth of those ages 30 to 44, according to the Pew Research Center. (6)

The number of U.S. employers offering student loan assistance has doubled since 2018, according to a
2019 survey by the Society of Human Resource Management. (7)

An increasing number of employers are offering employee financial wellness education programs. The
Bank of America 2019 Workplace Benefits Report states that more than twice as many employers are
currently offering financial wellness programs as compared to 2015 (54 percent in 2019 versus 24 percent
in 2015.) (8)

It is important that employee financial wellness programs meet the needs of a diverse workforce. The
survey revealed that financial wellness needs and preferences differ between genders and change with
age, perceived financial state and income level:

Women are more likely to want flexible working arrangements and paid family/eldercare leave. This is
likely because women are far more likely to be the primary caretakers of children and extended family.

Interest in 401K matching increases with income. The popularity of the 401K match is lower among
those making less than $49,999 compared to higher-income groups. Often lower income employees do
not have the financial resources to contribute to their 401K plan.

Employees with incomes under $35,000 are more interested in debt management services compared to
higher-income groups.

Offering employees incentives to participate in employer financial wellness programs can be very
effective. Survey respondents of all ages overwhelmingly indicated they are most interested in paid time
off (PTO) and financial incentives.

About iGrad
iGrad is a San Diego-based private company that offers financial wellness solutions to more than 600
colleges and universities, more than 12,000 employers and more than 300 financial institutions. iGrad
was recently recognized, along with the American Physical Therapy Association (APTA), with the Power
of A Gold Award by the American Society of Association Executives for its APTA Financial Solutions
Center. iGrad also received the 2019 Eddy Award for Financial Wellness by Pensions & Investments for
its Enrich platform. For more information about the iGrad platform for colleges and universities, visit
www.igradfinancialwellness.com. For more information about the Enrich platform for employers and

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financial institutions, visit www.enrich.org.

About Wellable
Wellable operates next-generation wellness challenges and health content technology platforms and
complements these solutions with on-site services, such as fitness classes, seminars, health coaching, and
more. The technology's exibility allows organizations to customize and configure a program to meet their
needs and objectives while providing a rich experience for end-users. Wellable works with employers and
health plans of all sizes across the world, with active users in more than 23 different countries. Visit
Wellable online at www.wellable.co.

1. PwC's 8th Annual Employee Financial Wellness Survey: 2019 results

(https://www.pwc.com/us/en/industries/private-company-services/library/financial-well-being-retirement-
survey.html)

2. Payoff Science Team Study. April 2016

(https://www.businesswire.com/news/home/20160420005504/en/Payoff-Study-Finds-1-4-Americans-1).

3. Alcohol and Drug Misuse and Suicide and the Millennial Generation — a devastating Impact.
Trust for America's Health and the Well Being Trust. June 2019
(https://wellbeingtrust.org/wp-content/uploads/2019/06/TFAH-2019-YoundAdult-Pain-Brief-FnlRv.pdf?
utm_source=STAT+Newsletters&utm_campaign=d90ea217be-MR_COPY_01&utm_medium=email&ut
m_term=0_8cab1d7961-d90ea217be-150444909).

4. “Lonely, burned out, and depressed: The state of millennials' mental health in 2019,” Business Insider.
October 10, 2019
(https://www.businessinsider.com/millennials-mental-health-burnout-lonely-depressed-money-stress).

5. The Employer's Guide to Financial Wellness 2019. Salary Finance

(https://www.salaryfinance.com/us/blog/half-of-us-workforce-suffers-poor-mental-health-due-to-money-
worries/).

6. “5 facts about student loans,” Pew Research Center, August 13, 2019
(https://www.pewresearch.org/fact-tank/2019/08/13/facts-about-student-loans/).

7. Society for Human Resource Management 2019 Employee Benefits Survey, April 2019
(https://www.shrm.org/hr-today/trends-and-forecasting/research-and-surveys/Pages/Benefits19.aspx).

8. Bank of America 2019 Workplace Benefits Report

(https://benefitplans.baml.com/IR/pages/workplace-benefits-report.aspx)

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Contact Information:
iGrad / Enrich
Jennifer Wezensky
269-274-4071
Contact via Email
http://www.enrich.org

Online Version of Press Release:

You can read the online version of this press release at: https://www.pr.com/press-release/799219

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