Boosting Financial Health Benefits in the Small Business Workplace

Businesses with fewer than 100 employees employ one-third of all U.S. workers, providing a path to economic opportunity for more than 43 million people. But while these businesses want to support employee financial well-being with affordable benefits, many struggle to do so. Through employer and employee surveys, the Financial Health Network uncovered opportunities for marketplace actors to innovate to meet these challenges – ultimately leading to healthier employees, stronger businesses, and more vibrant communities.     

Small business employers who responded to our survey most want innovations that lower the cost of benefits and provide more user-friendly experiences.

Select responses to Q29: Are there areas where you would like to see new innovation? Figure does not include “Other” responses.

This report is based on the findings from three surveys. The first survey asked small business employees about their financial health, whether they have access to employer-provided benefits, and their perceptions of their employers’ role in supporting their financial health. The second survey asked small business employers about the benefits they offer, how they see their role in supporting their employees’ financial health, and their perception of the state of innovation in the employee benefits marketplace. Both surveys were administered by Artemis Strategy Group, a market research and communications firm, using an online convenience panel. Data for the employee survey were weighted to be representative of the distribution of U.S. private-sector employees by firm size and industry type. 

The third survey, nearly identical to the second survey, was fielded online to a sample of small businesses supported by Pacific Community Ventures (PCV), a community development financial institution that partnered with the Financial Health Network on this research. PCV-supported small businesses tend to be smaller and more often led by women and people of color than the small businesses in our Artemis sample; their responses offer a window into the specific needs and preferences of these small business owners. The findings from the PCV sample are presented as a case study in the second Key Finding section of the report.

For more details on our research methodology, see the full report.