1. David Flores Vice President david.flores@moneystepspft.com
Whole person view of health
David Flores
Vice President
847/ Office
773/ Mobile

2. Topics We’ll Cover
The need
Solutions
Why should organizations care?
The MoneySteps solution
Arkansas School Districts

3. The Need

4. Employees & Personal Finances1
Employees who find it difficult to meet their household expenses on time each month:
2012
2013
2014
2015
2016
2017
49%
42%
40%
38%
36%
33%
1Statistics sourced on this and succeeding slides from the PwC 2017 Employee Financial Wellness Survey

5. Employees & Personal Finances
Employees who consistently carry balances on their credit cards:
2012
2013
2014
2015
2016
2017
59%
53%
51%
48%
47%
45%

6. Employees & Personal Finances
Financial stress by year
2012
2013
2014
2015
2016
2017
61%
53%
52%
52%
48%
45%
Financial Stress: more than half (53%) of employees report that they are stressed dealing with their financial situation and nearly half (47%) say that their stress level related to financial issues has increased over the last 12 months

7. Why should employers care?

8. Finances While at Work 30% 46%
of employees report that finances have been a distraction at work
Finances while at work
2013
2014
2015
2016
2017
Millennials (b )
19%
35%
22%
37%
Gen X
(b )
32%
29%
24%
34%
Baby Boomers
(b )
16%
12%
13%
46%
of those who are distracted by their finances at work say that they spend three hours or more at work each week thinking about or dealing with issues related to their personal finances
Nearly a third and a half
Make a joke about ubiquity of millennials

9. Reasons for Employer Sponsored Financial Wellbeing
Stress reduction – and the anticipated payoff for:
Lower health costs
Improved absenteeism rates
Higher employee engagement
Greater employee productivity
New hire recruitment
Employee retention
Retirement readiness –
Stop employees from retiring “in place”
Great phrase – we’ve seen it all

10. The Top Initiative for Employers is Focusing on Workers’ Financial Wellbeing2
How likely is your organization to address creating or focusing on financial wellbeing of employees that expands beyond retirement decisions?
59%
56%
33%
33%
2Aon Hewitt Hot Topics in Retirement and Financial Wellbeing

11. Solutions
Why you should care

12. Traditional Approaches to Financial Wellness
Retirement Plan
Health Plan
Employee Assistance Program (EAP)
Wellness Program
Financial Literacy Programs
Traditional Approaches to Financial Wellness
Emphasis on growing employee contributions
Some financial advising
HSAs
FSAs
Cost Comparison Tools
Articles
Seminars
Webinars
Articles
Seminars
Mindfulness
Financial Counseling
Stress Management

13. Today’s Financial Wellness Solutions
Specialty Approach
Student Loan Programs
Short Term Loans
“Big Ticket Item” Discounts
Remind shift to whole person view

14. Today’s Financial Wellness Solutions
Holistic Approach
Survey / Financial Wellness Score
Content
Budgeting / Calculators
Goals
Coaching
Behavior Change
Measurable
Foundational
Table Stake
Remind shift to whole person view

15. The MoneySteps Solution
Genesis of the solution at TMK

16. We combine educational tools and a unique approach to behavior change to increase financial wellbeing by reducing employee financial stress and helping them take control of their financial future.
Behavior change – like all other behaviors – i.e. an app wont lace your sneakers

17. A Personalized Financial Wellbeing Solution
Engagement
Monthly Newsletter
Monthly Webinars
Events
Website
Survey
Library
Automated Budgeting
Automated Retirement Income Forecasting
Goals / To-dos / Calculators
One-on-one Financial Coaching
Assigned Financial Coach
Online Appointment Setting
Telephonic or Secure messaging (website)
Participant driven – no programmatic formula
Tell stories

18. Financial Coaching Coaching Team The Coaching Experience
Financial backgrounds
Coaching backgrounds
Coach Certifications:
Certified Personal Financial Counselors
Fincert.org, Center for Financial Certifications
Accredited Financial Counselor (3 – candidates)
AFCPE – Association for Financial Counseling & Planning Education
The Coaching Experience
Unlimited one-on-one sessions
Coach communication by phone or secure messaging through the website,
Onsite coaching is available
Online appointment scheduling
Coaching priorities are participant driven to maximize engagement and address most pressing areas of anxiety
No solicitation of products
No fiduciary advice
Confidentiality, privacy, and security
Coaching Topics
32% Budget
30% Debt
14% Retirement
6% Investing
5% or less: College Savings, Savings, Emergency Fund, Healthcare Expenses, Stress, Home Buying, and others

19. Financial Wellness Pilot Score Groupings
Routinely saving 15% of income
3-6 months of emergency savings
Generally on track for retirement
Low financial stress
Thriving
Following budget; spending less than make
More than $1,000 in emergency savings
Contributing regularly to retirement
Finances rarely a distraction
Striving
Usually spending less than make
Credit card balances; little savings
Often distracted by finances
Moderate financial stress
Struggling
Living paycheck-to-paycheck
No emergency fund
Finances are a distraction almost every day
Overwhelming financial stress
Suffering
Financial Wellness Pilot Score Groupings
Examples of attribute sets that result in the score groupings

20. Behavior Changes Actions as a result of program participation:
60% are having discussions with family/significant others
57% are working toward achieving their financial goals
50% are working to reduce their debt
47% are taking steps to become more ready for retirement
31% have created a budget
30% are contributing to an emergency savings fund

21. Arkansas School Districts
Genesis of the solution at TMK

22. Arkansas School District Project
Educational Benefits, Inc. (EBI)
Chad Holsclaw
Chace Peeler

23. Survey  Education  Calculators  Budgeting Tool  Financial Coach
What we strive for
Survey  Education  Calculators  Budgeting Tool  Financial Coach