Financial stress isn’t new, but many of us are feeling the pinch in new ways in 2020. So, what exactly is financial stress? How does it impact you and what can you do about it?

Many of us know exactly what it’s like to feel stressed.

It’s harder to sleep at night, we’re more easily irritated, we might even try to find someone or something to blame for how we feel.

Stress is a totally normal part of life. We tend to feel stressed when we think we can’t cope with the life’s demands, or when our wellbeing feels threatened.

Is it normal to worry about money?

Financial stress is just one type of stress, but is regularly cited at the top of the list. For example, 54% of employees say their finances cause them more worry than their job, health or relationships — placing financial stress as the top concern at work, according to PwC. …

Have you ever wondered why spending sometimes feels so good? What about why we spend more in some situations over others or how it can be easy to overspend without realising?

We talk to behavioural scientist Dr Juliette Tobias-Web, who received her PhD in experimental psychology from Cambridge University, about what exactly is behind our impulsivity and how it shapes the way we spend our money.

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What is impulsivity?

“Impulsivity is simply acting without thinking,” Juliette says. “If you feel emotional, have time constraints or limited mental resources, that can lead you to act more impulsively.

“When it comes to spending, there was a study conducted in 2018, which found that consumers spent an average of US$5,400 a year on impulse purchases including food, clothing and household items. …

By Josh Vernon

The new normal. It’s got to be one of the most used phrases of 2020. But what if out of this new normal there are some positives? More time with family. Less time commuting. There could be others too — like employers taking an increased interest in the financial wellbeing of their workers.

Well, we’re one step of the way there. Vivup, the largest employee benefit platform provider to the NHS, has partnered with Earnd to add our on-demand pay solution to their benefits offering for NHS and public sector employers.

I’m excited about it. …

Leading HR solutions company The Adecco Group Australia has partnered with Earnd, Australia’s number one flexible pay provider, to give its internal employees access to their money as they earn it.

Earnd is an app that uses payroll data to give employees more options to take control of their finances. The financial wellbeing benefit will be offered to all internal employees, who will be able to access up to 50% of their income whenever they need and for free.

The Adecco Group Australia-Earnd partnership recognises the role companies and fintechs share when it comes to supporting employee financial wellbeing.

  • While 46% of Australians live pay cheque to pay cheque, Earnd enables Adecco Group Australia employees to use their income to meet expenses without having to rely on high-interest credit. …

HR professionals can be the heroes of this moment, as they are best placed to lead their companies through unprecedented uncertainty.

Covid-19 has highlighted the vulnerable situation many Australians are in. Even those who are employed may not have the resilience to withstand a financial emergency that lasts for too long.

GM of Earnd Australia Brad Joffe regularly talks to HR leaders from some of Australia’s largest companies. He explains why HR professionals can be the heroes of this moment, as they’re best positioned to lead their organisations through unprecedented uncertainty, placing a new emphasis on financial wellbeing and resilience at work.

“The current situation with COVID-19 is tough, particularly for HR professionals,” Brad says. …

A global study on trust found that since 2001, people have shifted their trust from traditional figures such as the government to their employer. Does this mean employers need to play a bigger role when it comes to the financial wellbeing of their employees?

Earnd speaks to Behavioural Scientist and author of Good Money: Understand your choices, Boost your financial wellbeing, Nathalie Spencer.

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Financial wellbeing is a long game — and in your book Good Money, you write about how trust impacts long-term mindsets. Can you tell us why trust is important for our financial wellbeing in the long run?

“You need a long-term mindset to plan for the future,” Nathalie says. “This helps you to sacrifice some of your spending today to save and build up wealth for the future.

“Trust and reliability are important to financial wellbeing, because they support long-term thinking,” Nathalie says. …

As an early access to income provider, Earnd welcomes the Financial Conduct Authority’s (FCA) position on Employer Salary Advance Schemes (On-demand Pay) as an alternative to high cost credit.

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Earnd welcomes FCA guidance on employee salary advance schemes

Earnd is an app that allows employees to access their pay as they earn it in real-time and for free.

The team at Earnd welcome the FCA’s position on Employer Salary Advance Schemes (on-demand pay) as an alternative to high-cost credit.

We’re focused on creative positive impact through early access to income and are committed to minimising incorrect usage of the product.

We’re excited that the FCA is recognising, “that when used in the right way ESAS [Employee Salary Advance Scheme] can help employees.”

We’re focused on employee financial wellbeing

We also wanted to share what we’re doing day in, day out at Earnd to further our mission to support employee financial wellbeing. …

Locum’s Nest and Earnd join to help doctors find and book locum shifts and get paid for them on-demand, saving the NHS agency fees and charges.

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When they finished their long hospital shifts, Locum’s Nest co-founders and NHS doctors Dr Ahmed Shahrabani and Dr Nicholas Andreou would go through the motion of having to find someone to sign their timesheet late at night.

Once the timesheet was signed, they would slide it under a manager’s door, hoping a cleaner wouldn’t mistake it as trash and throw it in the waste basket instead. …

About

Earnd

We give employees access to their pay as they earn it, so they are in control of their finances every single day.

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