Systems & Support – How Money Is Managed

Many adults lack the systems and trusted financial team members to properly manage their money. This lack can cause a wide array of problems: from missing payments to lapses in insurance coverage; from account overdrafts to tax problems. The consequences of not having systems and professional team members can mean people’s finances start working against them.

Systems and team members do take some effort to establish; however, in the long run, these factors can result in a net time savings. Lack of account automation, having to dig for information, and not knowing who to turn to when you have questions all cost you time and money. Having proper systems and trusted team members can be extremely helpful and save time.

Research, Statistics & Quotes

Thirty-one percent of Millennials have a written financial plan compared to 20 percent of Gen X and 22 percent of Boomers.

Charles Schwab, Modern Wealth Index Report, as reported by NBC News

56 percent of all bills are paid online via a biller, bank, or third-party website but only 32 percent of bills are set up on a recurring basis.

ACI Worldwide, How Americans Pay Their Bills Report

Staples created a financial literacy program that utilized online games and peer-to-peer collaboration to teach employees how to manage money, pay down debt, and save for retirement; and in return for their efforts, Staples saw a 31% improvement in employee retention.

Financial Impact

Citigroup created a program that taught topics such as credit management and money management at lunch workshops for employees and offered phone consultations on financial topics for their employees too. After the trainings they saw an increase in 401(k) contributions and 93% of the participants said that “the training enabled them to make a decision or take action.”

Financial Impact

NFEC Position Statement

Having the right accounts, management systems, and professional guidance can go a long way toward helping people properly manage their finances. Once these factors are established and automated, individuals stand a better chance of avoiding financial problems and keeping on track toward their long-term goals.

The NFEC’s team of collaborators – champions of the financial literacy movement – are highly esteemed for their efforts to promote education that includes these components.

To support people’s efforts to systemize their finances, the NFEC provides project-based learning programs in its curriculum, online learning, and mobile applications that have participants complete this activity. They open accounts, automate their bill payments, research insurance coverage, set up a calendar of tasks, and have access to mentors who support their efforts. Our team of financial coaches (Certified Personal Financial Wellness Consultants) are also available for those seeking independent guidance.