PLANADVISER - November/December 2020 - 5

Add Financial Stress to the Symptoms
And the Cost-of the Covid-19 Pandemic
Financial stress has increased among American workers
as the pandemic has continued, adding to the costs
borne by employers. Plan sponsors, financial professionals,
and recordkeepers can work together to reinforce the
basics of improving financial wellness-it's what workers
are looking for.
The COVID-19 pandemic has increased financial stress among
American workers
39%
were financially stressed
before the pandemic
62%
are financial stressed
during the pandemic
79%
are worried about current
economic conditions
22%
have dipped into
their emergency
savings as a result
of the pandemic
Financial wellness programs can help
86%
69%
59%
of workers feel it's important for
employers to offer a financial
wellness program
69% say financial
wellness programs help
reduce financial stress
59% say it increases
their company loyalty
People want help preparing for retirement with
1
Personalized
retirement income
and expense
projections
4
Retirement continues to be a top concern
73%
are worried about
not saving enough
for retirement
People are worried about their
finances in retirement:
Nearly 3 in 5 worry a
great deal about affording
medical bills in retirement
1 in 3 worry about basic
expenses like food, housing,
and transportation
More than
50%
of participants say that if they could
manage their financial priorities, they
would be able to save more for retirement
Financial stress comes at a cost to the employer
43% +
of workers spend
time on their
finances at work
Absenteeism
due to financial
stress more than
doubled from
2019 to 2020*
=
Lost productivity
and absenteeism
due to financial
stress costs
employers
$2,169
per employee,
per year
Managing a budget
2
Professional help with
retirement planning
and management of
investments
5
College saving tools
To learn more about the impacts of financial stress go to
retirement.johnhancock.com.
John Hancock and Greenwald & Associates are not affiliated and neither is responsible
for the liabilities of the other.
*John Hancock sixth annual Financial Stress Survey, John Hancock and Greenwald &
Associates, 2019. A survey of more than 3,500 workers to learn more about individual
stress levels, their causes and effects, and strategies for relief.
" The Retirement Plan Services Financial Stress Study " is a commissioned study
prepared for John Hancock by Greenwald & Associates. The seventh annual financial
stress survey was conducted from July 28th through August 14th, 2020. An online
survey of more than 500 John Hancock plan participants was completed to learn more
about individual stress levels, their causes and impacts, and strategies for relief.
" The Retirement Plan Services Financial Stress Study " is a commissioned study
prepared for John Hancock by Greenwald & Associates. This information is general in
nature and is not intended to constitute legal or investment advice. Greenwald &
Associates and John Hancock are not affiliated, and neither is responsible for the
liabilities of the other. This report presents the results of research conducted by
Greenwald & Associates on behalf of John Hancock. The objectives of this study were to
i) Quantify the financial situation and level of financial stress of John Hancock plan
participants ii) Determine the key triggers of financial stress iii) Understand the extent
to which actions, including actual financial behavior and planning activity, ameliorate
stress and Iv) Assess retirement preparation and readiness. It was online survey of 589
John Hancock plan participants. The survey was conducted from July 28 through
August 14, 2020 with an average survey length of approximately 19 minutes per
respondent. Respondents were located from a list of eligible plan participants provided
by John Hancock. All statistical testing is done at .95 and .99 significance levels. The
maximum margin of sampling error at the 95% confidence level is ± 4.1%.
The content of this document is for general information only and is believed to be
accurate and reliable as of the posting date, but may be subject to change. It is not
intended to provide investment, tax, plan design, or legal advice (unless otherwise
indicated). Please consult your own independent advisor as to any investment, tax, or
legal statements made herein
John Hancock Retirement Plan Services, LLC * 200 Berkeley Street * Boston, MA
02116
NOT FDIC INSURED. MAY LOSE VALUE. NOT BANK GUARANTEED.
© 2020 John Hancock. All rights reserved.
FOR INTERMEDIARY USE ONLY. NOT FOR DISTRIBUTION WITH PLAN SPONSORS
OR THE PUBLIC. MGS-PS43461 10/20 43461 MGR1022201371222
M
3
Assessing
financial
wellness
SPONSORED SECTION

http://retirement.johnhancock.com

PLANADVISER - November/December 2020

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