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Providing an emergency savings account (ESA) is fast becoming a key way to help employees build a foundation of financial wellness. According to a 2026 Bankrate survey, just 30% of Americans would pay an unexpected $1,000 expense from their savings. The remaining majority would have to rely on alternative methods, with roughly a third (33%) forced to go into debt via credit cards or loans, and others relying on regular cash flow or reduced spending. Providing an emergency savings program that’s easy and accessible helps tell your workforce that you know what they’re going through and you’re there to help.

That said, HR professionals considering, rolling out, or currently managing an ESA all face a fundamental question: How much should employees save in these accounts?

Clearly, employees themselves have the final say. But an efficient plan structure with appropriate minimums, maximums, and matches; solid guidance; and accessible educational efforts can go a long way toward spurring engagement and helping workers make the most of this important benefit. Let’s take a closer look.

Finding the ESA Sweet Spot

When offering guidance on how much to save for emergencies, employers may want to aim for the “sweet spot.” This is somewhere between putting all of your extra cash into an ESA and ignoring long-term goals, and the opposite — focusing solely on long-term savings and ignoring short-term goals, like emergency savings.

Finding the right balance can be tricky. ESAs and 401(k) savings often have a direct effect on one another, presenting HR professionals with a bit of a conundrum.

On the one hand, ESA savings can improve overall financial health and help employees avoid withdrawing funds from their 401(k) savings early, preventing any potential tax penalties and lost income in those accounts.

But by the same token, too much emphasis on short-term savings may dampen employees’ willingness to save in traditional retirement accounts. This can be especially true in today’s uncertain economic climate, when workers are navigating a high cost of living, elevated interest rates, uneven wage growth, and concerns about an economic slowdown.

Employers can help employees balance this short-term/long-term financial tension by helping them understand their individual savings needs, goals, and risks of encountering unexpected expenses.

Rethinking Conventional Wisdom about Emergency Savings

One way to do that may be to look beyond the traditional advice concerning emergency savings. Financial institutions often recommend that clients save three to six months’ worth of expenses (or more) in a cash or cash equivalent account in case of unexpected expenses or income disruptions like job loss.

But some experts believe that lower-, moderate-, and even some high-income workers may be discouraged by that goal and give up on emergency savings altogether. Setting more achievable dollar figures, such as $500 or $1,000, may be more realistic and more motivating than the traditional advice.

To get employees started, you might encourage them to set a modest saving target, such as the cost of a significant car repair, rather than jump right into the three-to-six- months’-worth-of-expenses formula. Once they reach that initial goal, they may be motivated to keep going and build up a more substantial financial safety net.

Keep in mind, the “goal” for emergency savings is fluid. The idea is for your employees to build a cushion, use it as needed, and then replace those funds when they are used. That’s why a hard-and-fast number doesn’t always work. Focusing on regular contributions that keep the fund functional can be more important.

Recommended: Top 10 Reasons Financial Wellness Is Important in the Workplace

Calculating Minimums, Maximums, and Matches

Benefit design can go a long way toward motivating employees to engage in emergency savings. Flexibility is key.

Minimums and Maximums

When you’re setting up a savings benefit of this kind, there are usually minimums and maximums involved. In many cases, employers work with an outside bank/vendor that may have its own restrictions. You may also want to impose some structure to run the program efficiently and engage your employees.

Keep in mind, minimums need to be low enough to engage, not overwhelm, workers. Amounts as low as $25 to $50 a week are not uncommon. Once the momentum starts and employees see balances increasing, they may want to increase the amount they’re depositing. Make sure this process is easy for them to do. And remember that being too strict about contributions can potentially backfire. If an employee must miss a month, consider not imposing any penalties. Otherwise, you may discourage an employee who happens to be temporarily strapped that month but who does want to save.

Maximums can be an important tool in ensuring that employees aren’t overly focusing on short-term savings or disregarding their 401(k) and other long-term savings goals. You’ll want to use the tools and information outlined above to set a thoughtful maximum that will help employees successfully cover unexpected expenses and, at the same time, increase their confidence for long-term goals.

When determining maximum amounts, you’ll also want to consider whether excess contributions can spill over into other types of saving programs, such as after-tax retirement contributions. This requires more administration but can be a useful tool to help employees balance short- and long-term savings goals.

Automatic Deductions

HR professionals have seen how automatic payroll deductions for 401(k) plans can significantly boost savings. The same may hold true for automatic payroll deduction ESAs, in which a small portion of an employee’s paycheck (after taxes) is automatically deposited into an employer-sponsored account.

Using the information outlined above to determine the percentage deducted for each level of your workforce can help make these automatic payments accessible and sustainable.

Also keep in mind that, thanks to the SECURE Act 2.0, employers have the option to automatically enroll eligible non-highly compensated employees into Pension-Linked Emergency Savings Accounts (PLESAs) within their existing retirement savings plans. Employees can make Roth-style (after-tax) contributions until the employee-contributed portion of the account hits a statutory cap of $2,500 (or a lower limit set by the employer). If an employer chooses to offer this benefit, they can automatically enroll staff at a rate of up to 3% of eligible wages, though employees always retain the right to opt out.

Employer Match

Kicking in an initial amount to help employees get their emergency fund started or offering a match tied to employee contributions can provide a strong incentive for employees to start saving.

One company might match employee contributions up to $40 a month. Other employers may provide a contribution once the employee has hit a certain savings threshold like, say, $250. For a relatively low cost, your company can provide a match that can help employees hit their emergency savings targets faster, improve their engagement, and enhance their overall financial wellness.

The Takeaway

Helping employees establish emergency savings requires a thoughtful balance between achievable short-term targets and long-term financial security. By offering flexible contributions, automated options, and employer incentives, companies can empower their workforce to handle unexpected financial hurdles with confidence.

SoFi at Work can help you and your team implement a successful emergency savings program, including guidance on how much your employees should save for unexpected expenses.

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Photo credit: iStock/katleho Seisa

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

SOAW-Q426-001

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Financial stress from student loan debt is known to cause lower job satisfaction, reduced employee engagement, and lost productivity. Now, research suggests that student debt may be a key driver of employee turnover, with debt-burdened workers significantly more likely to seek new opportunities compared to those without any student loan debt.

According to a 2025 MissionSquare Research Institute survey, employees with student loans are far less likely to remain with their current employer than those without debt (39% vs. 61%). In fact, only 34% of private-sector employees carrying student debt planned to stay in their roles. This trend is supported by a 2026 Fidelity report revealing that nearly half (45%) of surveyed borrowers would stay longer with an employer that helps them pay down their student loans.

Even if employees look but don’t immediately leave, this data underscores a growing reality: Offering student debt repayment support may be more critical than ever for attracting and retaining top talent.

The Burden of Student Debt and How Employers Are Responding

An estimated one in four privately employed workers carries student debt. The average federal student loan debt balance is now $40,467, and the average total balance (including private loan debt) may be as high as $43,619. All told, approximately 44 million borrowers currently owe more than $1.7 trillion in student debt, making student loan debt the second largest consumer debt balance in the U. S. (after mortgages).

Pervasive student debt is a barrier to financial security for many employees. Faced with such a heavy burden, borrowers are often unable to save for emergencies and retirement and may be forced to delay big life events.

Not surprisingly, many HR leaders are looking for ways to help. According to a 2025 report from the Employee Benefit Research Institute, roughly 26% of surveyed employers provide some form of student debt assistance, with an additional 35% planning to offer them in the future. Here’s a look at some examples:

•   Athletico Physical Therapy: Athletico Physical Therapy, a national provider of orthopedic rehabilitation services partnering with SoFi at Work, provides eligible employees with a $100 monthly contribution (up to $1,200 annually) toward their student loans, starting on day one of employment. According to the company, this tax-free contribution can help the average Athletico employee save as much as $17,076 after nine years and pay their loan off 20 months faster.

•   Kimley-Horn: A premier engineering, planning, and design consultancy, Kimley-Horn took its award-winning employee benefits to the next level in 2024 with the introduction of matching 401(k) contributions based on an employee’s student loan repayments. How it works: Typically, the company offers a match of double an employee’s 4% contribution to a 401(k) with an 8% company contribution. Employees’ student loan repayments can replace all or a portion of the 4% contribution, allowing employees to continue to receive the company’s retirement match while paying down their student loans. Kimley-Horn also offers tuition reimbursement.

•   Community Health Systems: Tennessee-based hospital chain Community Health Systems (CHS) offers an employer-sponsored student loan repayment program designed to offset loan balances by up to $20,000 for most clinical employees. In addition, employees may consolidate their loans and possibly reduce interest rates through the program. CHS also offers a tuition reimbursement program that provides up to $5,000 in tax-free reimbursement annually.

•   CoStar Group: CoStar, a Washington, DC-based real estate data and research provider, offers a company match to an employee’s 401(k) for workers paying off student loans. The maximum total retirement match is 4%, as long as the employee contributes at least 4% of their pay directly to student loan repayment, or to their 401(k).

How to Implement Student Debt Benefits

These days, the question on many benefit leaders’ minds is not if they should implement student loan debt benefits but instead, what is the best way to do so. Below are some tips on how best to manage your student loan repayment benefits.

Consider Student Loan Reimbursement

Under current law, employers can contribute $5,250 annually per employee toward tuition reimbursement or student loan payments on a tax-exempt basis. Employers don’t have to pay the full $5,250. The average student loan payment is approximately $434 a month, or $5,208 per year. Repaying even a small portion of these monthly payments can be enough to impact your employees positively. As we saw above with Athletico, even seemingly small amounts can help employees save thousands of dollars in interest over the life of the loan.

You might start by offering a $100 or $200 monthly payment and increase the amount as you can. You could also offer different payments to different groups of employees. For instance, you might offer a lower payment amount to first-year employees than to those who have been with your company for a few years. This incentivizes employees to stay at your organization, reducing employee turnover and saving on talent acquisition costs.

To determine the amount that works for your company (and is likely to help retain workers), conduct an employee survey to find out how many of your workers carry student debt and would qualify for a reimbursement. You might also look at your future hiring expectations to estimate the number of new employees likely to join the program. From there, you can determine how much your organization can afford to contribute to each individual.

Consider Student Loan Repayment as Salary Deferral for Employer Match into Retirement

The Secure Act 2.0 formally authorized companies to match employees’ qualified student loan payments with contributions to their retirement accounts, including 401(k)s, 403(b)s, SIMPLE IRAs, and government 457(b) plans.

This provision is not only a win for employees, but also for employers. Lowering debt and helping workers save for the future helps boost the overall financial wellness of your workforce. Benefits managers, like those at Kimley-Horn, hope this benefit will help attract talent and retain employees who see their retirement savings increasing and student debt balances decreasing.

If you’re interested in implementing a similar program, there are a few rules to keep in mind. A student loan matching benefit must abide by all the rules of a traditional match, including eligibility criteria, matching contribution rate, and vesting schedule. However, there is one exception: You are allowed to deposit the matching contributions to the employee’s 401(k) plan account less frequently than regular matching contributions, as long as you contribute at least annually.

Recommended: The Future of Financial Well-Being in the Workplace

Rethink Your Tuition Reimbursement Program

Now may be a good time to reevaluate your tuition reimbursement programs or introduce this type of benefit. Tuition reimbursement can help employees avoid taking out large student loans in the first place. It also benefits employers in multiple ways: For one, it helps employees gain new skills and knowledge they can apply at work. It also serves as a retention tool, since workers can take just a few classes per semester while continuing to stay on the job. Including a retention clause specifying they need to stay a certain length of time after completing classes can help you keep valued workers in your organization.

Some things to consider as you start or retool a tuition reimbursement benefit:

•   Types of payment: Generally, employees pay for their classes upfront and submit tuition reimbursement forms to their employers after successfully completing them, but this can be a barrier to participation. Consider paying for classes at registration or directly to the school, making it easier for employers to take advantage of this benefit.

•   Tiered payment: Some programs reimburse employees for a percentage of costs based on their grades. For example, an “A” might qualify for 100% reimbursement, a “B” would get 85%, a “C” might result in 75%, etc. Or, you might pay 100% only for classes with a passing grade.

•   Types of courses: Many employers pay for courses related to the employee’s career. Still, you might include classes that could help your workers pursue other positions in your company.

•   Institutions: Many programs cover any accredited institutions, but a growing trend is for employers to enter exclusive partnerships with education providers.

•   Service requirements: You might specify a vesting period before qualifying for benefits and/or require employees to stay with the company for a certain period after completing the course in order to keep the funds.

The Takeaway

Benefits that can help ease the burden of student debt are important tools employers can utilize to recruit and retain talent and promote financial wellness among employees. This is especially important in light of new data that suggests employees who feel they have a heavy student loan burden are far likelier to be in the process of leaving their organization.

SoFi at Work can help. We’re experts in the student lending space. With SoFi at work, you have access to platforms and information that can help build the benefits you need to create a successful and loyal workforce.

FAQ

Are employees changing jobs because of student debt?

They may be looking to do so. Although it might seem counterintuitive, new research suggests that employees with perceived heavy student debt burdens are more likely to be job hunting than their peers with lighter or no debt burdens.

What can employers do to retain employees with student debt?

To support employees with student loan debt and improve their intent to stay, consider offering a student loan repayment contribution program and/or matching 401(k) contributions for student loan repayment.

How many employees are struggling with student debt?

That number will depend on your workforce demographics, but about a quarter of privately employed workers in the U.S. carry student debt.

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Photo credit: iStock/SrdjanPav

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

SOAW-Q426-005

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Few events in your employees’ lives are as life-changing as becoming a parent. As a result, new parents often begin to look at their benefits in a fresh light. After all, they may now rely on their employer for new forms of support alongside their continued financial well-being.

As an HR professional, you may also want to take a fresh look at your company’s total rewards strategy. You’ll want to make sure your parent-focused benefits — such as parental leave and college savings plans — aren’t siloed as stand-alone offerings, but are fully integrated into your overall financial well-being program.

Why Parental Benefits Are Now More Key Than Ever

For new parents, returning to work can be challenging as they navigate the demands and costs of childcare alongside their jobs. Recent research from Pew Research Center highlights just how important workplace support can be for working parents. In a 2026 survey of 2,242 U.S. working parents, 54% said it was difficult to balance their work and family responsibilities.

The same research found a significant gap between the benefits working parents say would help them and what they have access to at work. Among working parents who are not self-employed, 84% said paid parental, family or medical leave would be extremely or very helpful, but only 50% said they have access to it. Similarly, 71% said flexibility to work from home would be highly helpful, while 23% said they have a great deal or a fair amount of flexibility to do so.

The more flexibility and support employers provide, the better positioned new parents may be to balance work and family responsibilities and remain in the workforce. Employers who understand what employees at different stages of parenting need to maintain and improve their financial well-being can also strengthen employee loyalty and retention.

Today’s diverse workforces require customized programs that can help employees achieve their individual and family financial wellness goals. This applies to parents of children at every age and stage, including those welcoming a newborn.

Here’s how you can make sure your total rewards strategy is doing the best job possible to attract, retain, and support your parent employees.

Evaluate Your Existing Parental Benefits

Are your parent-oriented benefits offering the best help you can give to the widest variety of your parent employees?

Some of the most common benefits include parental leaves, paid time off, and college savings programs. Let’s look closely at each to help determine if your offerings are up to date and effective.

Paid Parental Leave

The Federal Family and Medical Leave Act (FMLA) allows eligible employees of covered employers to take up to 12 weeks of job-protected leave for certain family and medical reasons, including the birth or adoption of a child. The leave is generally unpaid, although employees may be able to use accrued paid leave during some or all of the FMLA leave.

For federal employees, the Federal Employee Paid Leave Act (FEPLA) provides eligible employees with up to 12 weeks of paid parental leave following a qualifying birth or adoption.

Although FEPLA applies only to federal government employees, it sets a strong example for private and nonprofit organizations. You might consider whether your leave policies provide meaningful support for new parents and whether those policies are inclusive of fathers, non-birth parents, foster parents, and parents who use surrogacy. State and local paid-leave requirements may also apply, so employers will want to review the laws that cover their workforce.

Recommended: Financial Planning Tips for LGBTQ+ Couples

Flexible Return to Work Schedules

A flexible return-to-work policy for new parents can help ensure that new moms and dads continue to stay in the workforce. Some employers, such as PwC, for example, are finding that a gradual return can help with the transition. The firm allows parent employees to work a 60% reduced schedule at full pay for up to four weeks as they return to work.

Some large companies are also easing the transition by offering free or affordable on-site childcare for working parents. Still others have had success providing more customizable remote schedules for re-entering parents and more flexible PTO benefits that accommodate children’s illnesses and childcare gaps.

Whatever ways you decide to support the transition from parental leave to a return to work, be sure they’re clearly communicated to your workforce. Ideally, you’ll want to have a sit-down with a new parent employee before the baby arrives to review all relevant benefits, including what’s expected during a return to work.

Inclusive Parental Benefits

It’s important for employers to make sure their leaves, time-off, and return-to-work policies apply to all types of families. Parental benefits can be a wonderful opportunity for building your inclusive benefits strategy. Same-sex couples with surrogates, adoptive parents, and foster parents need the same parental leave and flexible return-to-work policies as traditional birth mothers. And any type of new parent may need spousal or partner time off for bonding and caretaking. If your health plan covers fertility treatments, you may want to ensure that same-sex couples and other nontraditional families are covered by those as well.

Early College Savings Opportunities

The idea of saving for college starting as soon as a child is born is nothing new. But is your company doing everything it can to make that possible? Automatic payroll contribution to a 529 savings plan can be one of the most effective ways for all parents to save for their children’s education.

In addition, assistance with determining what 529 savings plan is best for your employees may also help. Employer-provided guidance can help parents navigate state tax laws, fees, maximums, minimums, and investment options among the different 529 savings plans available.

Customize Financial Well-Being Benefits to Help Parents

New parents likely need access to many of the financial wellness benefits your firm may offer or consider offering. This might include:

•   Access to legal services to help write wills, designate guardians, and change beneficiaries

•   Opportunities to sign up for any supplemental life insurance or disability income insurance your organization offers and guidance on why protection can be more of a priority for parents

•   Home-buying benefits such as house hunting and mortgage services

•   Help building an emergency fund

•   Financial planning services, including budgeting and retirement planning (to make sure this doesn’t get lost in the shuffle)

•   Student loan pay-down programs to help parents handle their obligations from the past while still being able to plan for the future

You might also want to renew new parents’ engagement in overall wellness benefits such as weight loss, exercise, and stress reduction programs. If you don’t already, you might consider offering such programs to parents with children of all ages, since all parents (not just new parents) have stress to deal with.

The Takeaway

Becoming a parent is a life-changing occurrence for anyone. But employers can use this happy event to solidify financial well-being, loyalty, and productivity among their workers who are parents.

For more on how to customize a suite of parent-oriented benefits, visit SoFi at Work

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Photo credit: iStock/Tempura

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

SOAW-Q326-003

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Financial health and mental health are closely connected. Financial strain can contribute to stress and affect areas such as sleep, emotional well-being, and productivity. At the same time, mental health challenges can make it harder for people to manage finances and stay focused at work.

Recent research indicates that these pressures continue to affect today’s workforce. PwC’s 2026 Employee Financial Wellness Survey found that 59% of employees are stressed about their finances, while 49% say their compensation isn’t keeping up with costs. Among Gen Z respondents, 85% said financial stress affects their mental health, and 71% reported reduced productivity.

Financial pressures are not the only source of stress at work. The American Psychological Association’s 2025 Work in America survey found that 54% of U.S. workers said job insecurity has a significant impact on their stress levels. The survey also found that concerns about job security can affect workers’ sleep and relationships, while 46% said their work environment has a negative impact on their mental health.

These overlapping pressures can create challenges for both employees and employers. Financial stress and mental health concerns may affect concentration, motivation, productivity, and engagement. That has led many employers to look at financial well-being and mental health benefits as complementary parts of a broader employee support strategy. Here are some ways organizations can address the connection between financial and mental health and help employees navigate both.

Recognize How Financial Well-Being Programs Can Support Mental Health in the Workplace

Financial planning, budgeting tools, debt-management resources, financial coaching, and financial education have become increasingly common workplace benefits. These resources can help employees develop financial skills, manage day-to-day challenges, and work toward longer-term financial goals. Having access to practical financial support may also help employees feel more prepared to handle financial pressures, which can be an important part of overall well-being.

Financial well-being programs can complement, rather than replace, mental health benefits. Employees dealing with financial stress may benefit from resources that address the underlying financial concerns while also having access to mental health support when needed. Employers can consider how these programs work together as part of a broader approach to employee well-being.

Offer a Choice of Flexible Financial-Contribution Programs

Personalized benefits that are relevant to individuals’ situations can be especially helpful in reducing the financial stress employees are feeling right now. Depending on an employee’s personal situation, payroll deduction emergency savings accounts, student loan repayment programs, and/or debt management tools may be effective ways to help workers handle the financial stressors that may be contributing to depression, anxiety, and other mental illness.

This may be a good time to take inventory and see what solutions might be missing from your financial well-being benefits. Questions to consider include:

•   Have you set up an automated emergency savings program for employees?

•   And if you have, are you sure your employees know it exists and how to participate?

•   Do you have a 401(k) matching program for employees paying off student loans?

•   Are your education and financial planning efforts aimed at all employees, not just those focused on long-term savings?

Help Employees Keep an Eye on Long-Range Goals, Too

Today’s high cost of living combined with immediate financial concerns like repaying student loans and credit card debt means that many employees are simply not saving enough for the future.

Despite the demand for short-term saving solutions, you may also want to help employees balance short- and long-term goals. Even for younger employees, you don’t want to take the focus completely off retirement and college savings benefits. And for employees who are closer to retirement, building savings is important, too. Helping everyone in your workforce, regardless of where they are, maintain a balance between short-term and long-range goals can be an important step to developing their overall financial well-being and lowering their stress.

The Takeaway

Research shows that financial stress can significantly impact your workforce, leading to mental and physical health issues as well as decreased engagement and productivity. By connecting mental health and financial wellness benefits into customized, accessible packages, you can better support your employees and prepare them for future challenges.

SoFi at Work can help. We provide the benefits platforms and education resources that can enhance financial wellness throughout your workforce.

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This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

SOAW-Q326-001

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Building an emergency fund savings program for employees can be one way employers can help workers prepare for unexpected expenses and financial disruptions. Many Americans continue to struggle to build adequate emergency savings.

According to Bankrate’s 2026 Annual Emergency Savings Report, just 27% of U.S. adults have enough emergency savings to cover at least six months of expenses, while 24% have no emergency savings at all. That shortfall can contribute to financial stress. Bankrate found that 60% of Americans are uncomfortable with the amount of emergency savings they have, including 31% who are very uncomfortable and 29% who are somewhat uncomfortable.

HR leaders have taken note of the need to help employees build greater financial resilience. Some employers are incorporating emergency savings into their broader financial wellness benefits, giving workers tools to set aside money for unexpected expenses.

If your organization is considering an emergency saving benefit, there are several ways to approach it. Here are six moves that can help you build an emergency auto savings program that supports your employees while fitting your company’s needs.

1. Evaluate Employee Needs

Adding an emergency savings plan can help employees alleviate a significant amount of financial stress and provide a solution to the lack of short-term savings. This might be especially appealing for younger members of your workforce who may have fewer resources to rely on than older employees.

To determine how effective an auto savings program will be for each segment of your staff, you might think about creating a preliminary survey of employees to see what they feel they need most from a short-term savings plan.

Consider the following questions:

•   Will you participate or do you feel there are already too many demands on your paycheck?

•   Are you more likely to join if the company offers a match or initial contribution?

•   Will you gravitate to emergency savings in lieu of long-term retirement savings?

•   Do more accessible after-tax savings in a 401(k) account that can be used for emergencies appeal to you?

•   Do you think automatic enrollment in an emergency saving plan could help you feel more financially secure?

2. Check Out the Competition

A good next step is to determine what competitors are offering their existing talent and new recruits in the short-term financial wellness arena. For example, is an emergency savings program common among companies competing for your talent? Do most competitors offer a match or contribution to get employees, especially new hires, started?

Use the results of this data and the survey of employees to devise the most effective program for your employees (see below) and, importantly, to help convince team members and management why an automated emergency savings program is right for your company’s comprehensive compensation and benefits package.

3. Determine the Impact of an Emergency Savings Program on Your Total Rewards Strategy

Your total rewards strategy may have evolved in recent years as you’ve adjusted compensation, benefits, flexibility, performance recognition, and career development programs. As you consider adding an emergency auto savings benefit, think about how it fits into your broader strategy. Does it support your financial wellness goals and align with your organization’s business priorities? Does it address a financial need that your employees are facing today?

Emergency savings can complement a broader total rewards strategy by helping employees prepare for unexpected expenses and feel more financially secure. But it’s important to structure the benefit so it supports your overall goals for attracting, retaining, and engaging talent.

Adding an emergency savings benefit may also shift employees’ attention toward immediate financial needs rather than longer-term needs. As you implement the program, consider how you can support both. Alongside emergency savings, continue educating and encouraging employees to work toward longer-term financial goals, such as saving for retirement and preparing for future health care costs.

The goal is to make emergency savings part of a broader financial wellness strategy — not a replacement for other benefits and resources that help employees build financial security over time.

4. Select the Solution and Roll Out Best for Your Goals

At SoFi at Work, we’ve found that selecting the right solution is critical to the utilization and effectiveness of every benefit in your total rewards strategy. Following the McKinsey framework can work well for all types of benefit rollouts, including emergency auto savings programs. These four principles can also help ensure benefit rollouts are integrated into your business strategy.

Choose Partners Wisely

There are generally two ways to set up ESAs for employees: One is to link these accounts to an existing 401(k), where the ESA shares the same platform as the 401(k) plan. Another option is to set up an ESA with an outside bank or financial institution.

For many employers, an out-of-plan solution is appealing because these accounts are often hosted through banking platforms that can offer easier access to the funds for employees, while reducing employer responsibility and involvement. If you go this route, you’ll want to look for a credible partner that can provide expert support and advice to a wide variety of employees with varying financial needs. Consider partnering with a bank, credit union, or other financial institution that offers a low-cost, easy-to-use platform, like SoFi At Work’s Emergency Vault.

Focus on What’s Feasible

Make the program feasible to launch, which will help you make meaningful progress for employees in the short term as you lay down the foundation for long-term initiatives. This is key with emergency savings rollouts because by helping to relieve some short-term financial stress, you allow employees to focus on long-term goals sooner rather than later.

Make It Sustainable

Sustainable programs are able to flex with your business over time and during uncertain business conditions. Can your emergency auto-save program survive current or future political and economic changes? To answer this, your company may need to weigh questions such as: Do the engagement benefits of a match outweigh the cost of sustaining the program? Is the plan flexible enough to undergo changes in the economy, your workforce, and your business strategy over time?

Get Personal

Enable personalization where you can. This way, employees are likely to feel emergency auto savings can help meet their unique needs. Offering a range of amounts that employees can automatically withdraw is the first step toward personalization. Providing calculators and other educational tools that help employees determine how much they need to save and how much they can afford to save is another personalization tactic.

Recommended: How Much Should Your Employees Have in Emergency Savings?

5. Use Communication Effectively

Top-notch communication techniques can help you drive participation and, importantly, change savings behavior in your workforce. Coordinating communications about the importance of emergency savings with other financial well-being education programs can also help get the word out in an immediate and holistic way.

Clarity is Key

Accompany your rollout with clear communications telling employees exactly what they can expect, including:

•   How payroll deduction works

•   How much — or how little — employees can save in the account

•   Calculators, tools, and education efforts designed to help employees determine what they should/can save

•   Thorough explanation of any company match offered — how much, how often, and portability

•   Which bank, credit union, or other financial institution will run the account

•   How much, if any, interest will be earned

•   How withdrawals can be made

•   The fact that withdrawals can be made for any reason, no questions asked, with no penalties

•   A reminder that if employees leave the company, they may easily transfer their contributions to the account to their own savings account

Meet Employees Where They Are

Make sure effective and thorough communications are available across platforms so you can keep up with your far-flung workforce. Simply posting on the company website and hoping people sign up likely won’t work, especially for remote workers who may be feeling disconnected from corporate communications.

In all communications, make sure you take a multi-platform, consumer-grade, mobile-native technology approach.

6. Take Ongoing Pulse Checks

To determine engagement and any ongoing tweaks that need to be made, you’ll want to establish metrics to measure success at least quarterly. Then you’ll want to benchmark those results against your competitors and national averages to add an “outside-in” perspective.

There are several ways you can solicit employee input on the success of the program: employee surveys, focus groups with critical talent segments, and analysis of recent departing employees and job candidates who declined an offer.

Metrics can also help you track how well the benefit is supporting business goals. For instance, a customer-service-oriented company may find a higher focus among phone reps and fewer errors when staff is less burdened with financial worries.

The Takeaway

These six concepts are designed to help you build a successful, engaging, and effective employer-sponsored emergency savings plan. By reducing employee stress and increasing productivity and loyalty, you can help promote financial well-being in your workforce as well as enhance your company’s total rewards strategy and overall business objectives.

If you’re interested in setting up an emergency savings program, SoFi at Work can help. We provide an array of benefit platforms and education resources that can enhance financial wellness throughout your workforce.

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Photo credit: iStock/alvarez

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

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