Survey: what is the pandemic doing to your employees’ financial wellbeing?

The coronavirus pandemic is contributing to our members paying closer attention to their finances, with many saving more money and taking control of their financial wellbeing.

A survey of around 2,800 QSuper members, who are Queensland Government employees and who may include some of your employees, conducted in June 2021,¹ shows many are paying closer attention to their finances and adjusting their personal and family budgets.

As a result, many members are feeling more in control of their money and have increased confidence about their financial future, the survey found.

Employees say they have more confidence to control their money

The research into the financial wellbeing of QSuper members, which is conducted every two years, shows more people feel more in control of their current finances (+1%) than they did two years ago and have increased confidence about their financial future (+5%).

Of the adult workers who were surveyed, 27% spent less on shopping and luxuries and 26% tightened their budgets.

In the past year, many members also made changes to improve their financial wellbeing, with:

Financial stress points

On the downside, the survey showed around one in five people (19%) found managing their own money stressful and this level of stress increased in the past two years (+3%).

The top five financial concerns of those surveyed included:

  Rising age of retirement (63%)

  Insurance costs (59%)

  Funding retirement (56%)

  Affording healthcare (56%)

  High house prices (54%).

How your employees can take control of their finances

QSuper’s Chief Operating Officer, Karin Muller, said the data confirmed that taking action to improve your finances may help you feel more in control and financially confident, especially in uncertain times.

Ms Muller said while focusing on finances may feel daunting for some of your employees, particularly if they have lost income during the past year, small changes to habits could make all the difference to their financial wellbeing.

Financial advice or seminars and education from a trusted source may help if your employees are feeling stress about your finances.

"At QSuper, we focus our education programs around helping our members make choices today to improve their financial outcomes down the track," Ms Muller said.

Gender gap in financial confidence

The survey revealed women are more concerned than men when it comes to funding their retirement (60% compared to 50%).

More than half the women surveyed (53%) were concerned about their superannuation balance compared to 40% of men.

Men feel more in control of their current finances than women (49% compared to 40%) and more confident about their financial future (48% compared to 36%).

Young people feeling financial stress

The data also shows people aged 55 and above have the highest levels of confidence in their current finances.

Members aged 35-54 and families with school aged children were among the most concerned about their finances.

A financial plan when you need it

Ms Muller said the data highlighted the importance of having a sound financial plan in the current environment.

"The COVID-19 crisis has changed our lives and finances in ways we could never have imagined two years ago. When life is uncertain, it’s more important than ever to have a plan.

"A financial plan requires consideration and commitment which could help you feel more secure about the future and provide greater peace of mind today," she said.

QSuper Financial Wellbeing Program

Contact us today about implementing a financial wellbeing program in your workplace or getting access to the full QSuper financial wellbeing insights report.

The opinions expressed and those providing comments are theirs alone, and do not necessarily reflect the opinions of the QSuper Board. No responsibility is taken for the accuracy of any of the information supplied and you should seek advice for your circumstances.

1. Independent online survey of 2,868 QSuper members aged 18+ was conducted by Ipsos on behalf of QSuper, June 2021
2. You can find out more about financial advice options at qsuper.qld.gov.au/advice or by calling us on 1300 360 750. QInvest Limited (ABN 35 063 511 580, AFSL 238274) is a separate legal entity responsible for the financial services it provides. Eligibility conditions and advice fees may apply. Refer to the Financial Services Guide (pdf) for more information