According to AON’s 2021 pension survey, less than three in ten people say that they expect to retire at the standard retirement age. There is a direct link between your employees worrying about pension contributions and their overall wellbeing. Employees who are stressed about their finances are more likely to take days off from work due to mental health struggles, with this impacting your business’ productivity and overall success. This article explores how Pension Wellbeing can benefit both your business and your employees.
What is Pension Wellbeing?
Pension Wellbeing is a term that exists under the wider umbrella of Financial Wellbeing. Despite how important Financial Wellbeing is, the conversations around the topic are often broad and full of confusion. Mintago aims to help change this by focusing on Pension Wellbeing as pensions affect everybody, ultimately meaning the difference between that carefree, dream retirement and a future that is much less appealing.
Pension Wellbeing means educating and empowering your employees to take charge of their future, now. Those that understand the importance of their pension are inclined to spend time learning how to manage it and get the most out of their contributions, ensuring that they know how much they need to save for their future.
Mintago is on a mission to improve both employer and employee Pension Wellbeing by providing individuals with user-friendly tools and the education they need to manage their pensions.
How can Pension Wellbeing save your business money?
Employees’ pensions are one of the biggest lumps of money that employers have to manage each payroll. It therefore makes sense for a business to focus on saving as much money as possible in this area. Mintago helps employers reduce their national insurance contributions. The money that a business saves on national insurance contributions can then be put directly back into the business, perhaps reinvesting these savings on supporting their workforce.
To the average person, pension is one of their most valuable assets. The education that is part of Pension Wellbeing can help an employee of a business to maximise their overall quality of life, ensuring that they are aware of how much they need to contribute to their pension in order to achieve that comfortable retirement.
In fact, according to research, it is estimated that employers are losing around £15.2bn each year because of employees’ poor financial wellbeing. Through ongoing education, employees will be able to take more control over their pension wellbeing which in turn means a happier, more productive workforce as well as business savings.
What are the long-term repercussions if a business does not prioritise Pension Wellbeing?
If Financial and Pension Wellbeing is not a priority to an employer, they are unlikely to provide employees with the support and guidance to live a financially healthy life. This could result in employees of a business developing mental health problems due to financial stress, causing a dip in employee work related satisfaction.
Evidence suggests a strong link between an individual’s financial and mental health, with financial worries being one of the most common causes of modern day stress. Pension Wellbeing affects different people at different stages of their lives. If someone contributes enough money to support their future retirement when they are in their twenties, they do not face the terror of discovering that they have run out of time to save enough. On the contrary, those who are unprepared for their future risk learning in their forties and fifties that they do not have enough money to retire, or may have to retire far later than they desired. This can cause mental health problems and reduce an individual’s quality of life considerably.
How can Mintago improve your Pension Wellbeing?
Get minted with Mintago! Mintago is truly invested in helping both employers and employees save money. Evidence suggests that the best place to help improve the Financial Wellbeing of society is within the workplace. Mintago is a mission-led business that cares about helping the maximum number of people thrive.
Many businesses are unaware of the Salary Sacrifice scheme offered by HMRC to help employers reduce national insurance contributions. Unfortunately, due to the lack of awareness of this scheme many businesses do not know how to implement it to their advantage. This is where Mintago comes in. Mintago takes care of the whole process so employers and employees can enjoy all of the benefits of this scheme, without the stress or sacrifice to their time.
Mintago’s pension dashboard is a great way to improve employees’ overall Pension Wellbeing. Pension schemes are currently set up in an extremely fragmented way, making it difficult for employees to take their pensions with them wherever they go. Mintago’s pension hunter tool can consolidate all pensions past and present for an employee, enabling them to gain a good understanding of what they have contributed in total and making sure that they don’t lose out on what they have earned.
Mintago believes that when it comes to Pension Wellbeing, having the right tools, education and support is essential. The most important factor however, is trust. Mintago works to become a trusted partner of an employer, taking the time to understand the businesses financial needs in order to offer a tailored solution.