Behavioral Finance and Employee/Participant Engagement

Behavioral Finance and Employee/Participant Engagement

April 10, 2023


There is a sea change in how employers are delivering financial education to their employees. It began when the industry redefined what the goal of financial education should be. Financial education should lead to financial wellness for workers. Financial wellness is a more holistic goal that aims to cover all of the relevant areas of an individual’s financial health, including not only retirement planning, investments, and insurance, but also credit/debt, and budgeting/cash flow as well. In this module, we examine why traditional forms of financial education have not been effective, and how the industry is changing the messages and methods of delivery to encourage financial success.

Learning Objectives

  • Understand basic behavioral finance tenets, and be able to apply those in recommending and evaluating plan design changes
  • Be able to identify appropriate plan defaults in accordance with behavioral finance findings for maximum positive impact
  • Be able to recognize and recommend appropriate communications in support of various behavioral finance-driven designs and defaults
  • Know the role of “in” or “out of” plan approaches as part of a financialwellness strategy
  • Be able to articulate behavioral finance approaches to incorporatea financial wellness focus

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At Diversified Financial Advisors, we believe with the right plan design, we can create successful retirement outcomes for your business and employees.

We are happy to help, if you have any questions or would like additional insight, please feel free to reach out to me at or 800.307.0376.

Disclosure: This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. Investment Advice and 3(38) Investment Fiduciary services offered through Diversified Financial Advisors, LLC, a Registered Investment Advisor. 3(16) Administrative Fiduciary Services provided by PISTL Service Corporation. Discretionary Trustee services provided by Printing Industries 401k Trustees. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material. 

This material is for educational purposes only. It cannot be used for the purposes of avoiding penalties and taxes. Readers should consult with their tax advisor or attorney regarding their specific situation. The information provided has been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed

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