Loud Budgeting Explained: How This Trend Empowers Your Employees

Embracing the Loud Budgeting Trend: Elevate Your Employee Financial Wellness Strategies

Ever heard of ‘Loud Budgeting’? Well, if you’re an employer looking to engage your people in 2024, it needs to be on your radar 👀 This social media trend is set to make waves in the business world, and as people increasingly prioritize savings, businesses need to take notice!

‍
📣 What is ‘Loud Budgeting’?

Loud budgeting is a social media trend and financial approach that boldly showcases the financial goals & budgeting efforts of the younger workforce. The idea is to proudly showcase budgeting strategies publicly — without any fear of judgment or fear 🙅.

This includes people openly stating their reasons for refraining from spending their money, even though they may have funds available. This transparency fosters accountability and helps motivate social media savvy workers to stick to a budget, without succumbing to guilt or FOMO (fear of missing out)!

Loud budgeting doesn’t just mean taking control of personal finances — it’s also about setting smart savings goals, and being able to set money aside even if someone has the means to splurge. The ultimate goal? Financial well-being, control, and flexibility 👏.

Companies across North America have also begun to participate in this trend. Organizations that are open about the allocation of resources towards specific initiatives, including employee wellness, are seen as more transparent and trustworthy. This is why this is a common & growing practice among many employers. This openness helps employees understand where company resources are being allocated and fosters trust and engagement within the workplace.

‍
📈 Why Is Loud Budgeting Trending?

In 2023, social media influencers & users began sharing video content of themselves ‘loud budgeting’, where they talk directly about the savings choices they are making. This trend has been on the rise, with over 100,000+ #LoudBudgeting videos shared.

TikTok Influencer Lukas Battle (credited for starting the trend) says, “It's not a matter of scarcity but a decision not to splurge. It's relatable to the average person.” This trend is a nice departure from usual social media trends, that often exploit expensive items, trips, or products in order to get more views. Loud Budgeting has given people the ‘go-ahead’ to stop spending frivolously, and start focusing on financial wellbeing.

‍
🤔 How Does This Impact Your Business?

Social media trends don’t lie — people want to budget, get ahead, and make smarter financial choices. And clearly transparency around spend and company resources is becoming more of an expectation than ever before.

But how will this impact your business & employees?

Your employees will be more diligent than ever in taking the steps they need to get ahead financially, whatever that may mean for them. Loud budgeting signals that your employees will be saving money, creating budgets, and allocating their hard-earned wages towards specific goals — and you can be there to support them.

‍
💪 How to Leverage Financial Wellness Trends In Your Business:

Leveraging this trend of financial wellness & saving into your business isn’t as hard as you may think! Instead of ignoring the fact that your employees are eagerly saving & ‘loud budgeting’, give them the tools they need to get ahead.

With 80% of employed people saying they think employers should play a role in supporting their financial wellness, it’s clear that people appreciate companies that actively support their financial goals, enabling them to budget however they may choose.
‍
Here are five steps you could take to begin improving the financial wellbeing of your entire workforce:

1. Provide Budgeting & Savings Tools: Help your employees budget loud & proud with budgeting & saving tools that enable employees to track their spending progress towards savings goals.
   ‍
   
2. Host Regular Financial Wellness Workshops: Offer monthly or quarterly workshops focusing on financial education. These can cover a range of topics  — from basic budgeting to investment strategies — tailored to the needs of all employees!
   
   Remember, the age of your employees matter: younger generations could be eager to learn about first-time home buying, while older employees will be more keen to learn about retirement goals.
   ‍‍
3. Transparent Compensation Structures: Clearly outline compensation frameworks, including how salaries are determined and the potential for growth. This might include publishing salary bands for different roles or creating a clear, documented path for salary progression.
   ‍
4. ‍Confident Education on Benefit Utilization: Regularly educate employees on how to maximize their benefits and earnings. This can be through workshops, informational videos, or interactive webinars.
   ‍
5. ‍Offer Earned Wage Access (EWA): EWA allows employees to access up to 50% of their earned wages before the regular payday, providing financial flexibility to cover unexpected expenses or emergencies. This can reduce financial stress and improve overall employee satisfaction and productivity.

With people more interested in & taking next steps towards saving money, there will be a clear focus on the flexibility in which they’re able to meet these goals. While the idea of saving money seems easy enough, over 50% of people are still living paycheck to paycheck, even with and after smarter budgeting efforts.

The answer? AnyDay’s Earned Wage Access, or being able to provide your employees with a flexible & easy way to access their earned wages, before pay day.

‍
💸 What is Earned Wage Access (EWA)?

EWA is an automated payments feature that offers workers access to a portion of their earned wages between pay cycles. EWA provides employees more flexibility to cover bills and emergency expenses without having to rely on high interest credit cards, bank overdraft fees, or the use of short-term, high-cost credit. If you’re interested in learning more about AnyDay’s EWA, download our white paper, “The Era of On-Demand Pay”.

Earned Wage Access will help take your employees loud budgeting to a whole new level. Your entire organization will appreciate the support, improving retention and overall happiness!

Happy employees get paid AnyDay ✨

‍
Learn more about Earned Wage Access today.

‍