Insights + interviews
Endowus x Intellect Wealth & Wellbeing Report: Financial Preparedness Key to Retaining Gen Z and Millennial Workers
A study by Endowus in partnership with Intellect, has revealed crucial insights into the relationship between financial wellbeing and workplace satisfaction among Gen Z and Millennial workers in Singapore and Hong Kong.
Key Findings
The Endowus x Intellect Wealth & Wellbeing Report surveyed 1,000 Gen Z and Millennial workers, uncovering significant trends:
- 71 percent of respondents in Singapore are less likely to consider leaving their job if their workplace provides more support to boost financial preparedness.
- 1 in 3 respondents expressed a desire for their employers to offer financial wellness programmes at work.
- Nearly 80 percent of Millennials and Gen Zs believe that improved financial preparedness will reduce distraction at work and increase productivity.
- 4 out of 5 Singaporeans agree that financial preparedness positively impacts their self-esteem and boosts personal resilience to recover more easily from setbacks.
Impact on Mental Wellbeing
The report also explores how financial preparedness and knowledge affect personal factors of mental wellbeing, including:
- Growth Mindset
- Resilience
- Self Esteem
These factors, in turn, influence workplace wellbeing dimensions such as job satisfaction and turnover intention.
Virtuous Cycle of Wellbeing
The findings establish a virtuous, cyclical relationship between high levels of financial wellbeing and personal wellbeing. For instance, 85 percent of Singapore respondents said being financially prepared helps them bounce back more easily from setbacks and challenges, while 84 percent reflected that this cultivated resilience encourages them to continually improve their financial preparedness. High self-esteem begets a stronger sense of financial preparedness, and vice versa.
Current Strengths and Weaknesses
From the outset, Singaporeans exhibit robust baseline metrics for overall wellbeing:
- Growth Mindset: 91 percent
- Resilience: 80 percent
- Self Esteem: 83 percent
- Job Satisfaction: 68 percent
However, nearly 1 in 2 respondents (46 percent) often think about leaving their job, reflecting considerable turnover intention. In terms of financial preparedness, a majority (83 percent) of Singaporean respondents feel “very prepared”, “prepared”, or “somewhat prepared” today.
Financial preparedness is defined in the study as the confidence to manage life’s demands, both short-term and long-term, providing a sense of control over one’s money situation.
Areas for Improvement
Despite robust baseline metrics, the study revealed areas where Gen Z and Millennials feel less confident:
- Only 15 percent cited sufficient levels of investment proficiency to understand the right type of investments for their financial goals.
- Another 15 percent were confident in their ability to build an adequate retirement nest egg, highlighting the need for a longer-term view on financial planning.
Immediate Next Steps
Most Singapore respondents are opting to increase their emergency savings (46 percent) as a means to boost their financial preparedness. This highlights the need for effective cash management and considering low-risk, inflation-hedging assets such as money market funds.
The Role of Employers
The study highlights the crucial role employers play in improving employees’ financial preparedness and overall workplace wellbeing. By offering financial wellness programmes, employers can significantly enhance job satisfaction and reduce turnover intention among younger workers.
Holistic Wellbeing Support
Given the clear correlation between financial preparedness and workplace outcomes, organisations can benefit from integrating financial wellness into their employee wellbeing, engagement, and retention strategies. A significant 1 in 3 Singapore respondents desire greater workplace support through financial wellness workshops (34 percent), personal finance interest groups (33 percent), and financial literacy training sessions (34 percent). This sentiment is particularly strong among Millennials, with 35 percent expressing a preference for both financial wellness workshops and financial literacy training.
Additionally, 35 percent of Singapore respondents are looking for their workplaces to offer mental wellness workshops, reflecting a growing understanding of the interconnectedness between mental health and financial wellbeing. Organisations can offer mindfulness training sessions focused on financial stress reduction techniques and provide access to counselling services that specifically address financial anxieties and their impact on mental health.
Strategies for Financial Preparedness
The report concludes that employers and organisations have a crucial role and responsibility in improving employees’ holistic financial and mental resilience. This is particularly important for building a stronger, more resilient workforce by boosting job satisfaction and reducing turnover intention.
Endowus understands that improving individuals’ financial preparedness will strengthen the very fabric of society, by enabling more people to achieve retirement adequacy and avoid longevity risk. Through informed wealth management and greater access to the right resources, we can empower Singaporeans with the knowledge to secure a brighter future for themselves and their loved ones.
Samuel Rhee, Co-Founder and Chairman of Endowus, emphasised the importance of financial literacy.
The Endowus x Intellect Wealth & Wellbeing Report serves as a call to action for employers to prioritise financial wellness programmes, ultimately supporting the wellbeing and retention of Gen Z and Millennial workers in Singapore and Hong Kong.
Pictures provided in Endowus x Intellect Wealth & Wellbeing Report and press release.
