Employers Shift Focus from Retirement Access to Financial Outcomes

Only 5% of employers offer formal emergency savings programs, while 51% of employees have no savings or less than three months of expenses.

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Gallagher (AJG) published its 2026 US Financial Benchmarks Report, examining employers' shift from offering retirement benefits toward improving financial outcomes. The report draws on responses from 3,717 US organizations surveyed from January through March 2026, alongside a separate employee financial assessment.

Retirement benefits are offered by 85% of employers, but only 28% of employees believe their current retirement savings strategy will achieve their goals. Auto-enrollment is used by 57% of employers and automatic contribution increases by 33%. Self-service financial planning tools are offered by 81%, while 68% provide one-on-one planning appointments. Among employees, 91% recognize a connection between financial stress and mental health, and 74% consider finances when making healthcare decisions. Some 46% of employers have not implemented optional SECURE 2.0 provisions or are unsure whether they have.

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Gallagher's 2026 US Financial Benchmarks report highlights how employers are using plan design, guidance and broader financial support to address employees' evolving financial needs

ROLLING MEADOWS, Ill., Oct. 14, 2026 /PRNewswire/ -- As retirement readiness, financial stress and healthcare affordability continue to challenge employees, employers are increasingly focused on a new question: Are their financial benefits actually improving outcomes? Gallagher's 2026 US Financial Benchmarks Report finds organizations are shifting beyond simply offering benefits toward helping employees make better financial decisions throughout their careers.

The report is based on responses from 3,717 US organizations that participated in Gallagher's Benefits Strategy & Benchmarking Survey from January through March 2026. It also incorporates employee findings from the 2026 Financial Health Assessment.

"Financial wellbeing is no longer viewed as a stand-alone benefit. Employers increasingly recognize the connection between financial health, workforce engagement and business performance," said John Tournet, US CEO of Gallagher's Benefits & HR Consulting Division. "As a result, they're looking more closely at how benefits, guidance and support programs work together to meet employees' financial needs."

Retirement Benefits Prioritize Outcomes Over Access

While 85% of employers continue to offer retirement benefits, the report finds organizations are increasingly focused on improving retirement outcomes rather than simply providing access to plans. The shift comes as retirement confidence remains low: only 28% of employees believe their current retirement savings strategy will enable them to achieve their goals, while 30% of employees age 55 and older identify retirement planning as their biggest financial stressor.

To help address those challenges, employers are putting greater emphasis on plan design. With SECURE 2.0 making auto-enrollment and auto-escalation mandatory for most new retirement plans, these features are playing a larger role in improving participant outcomes. Already, 57% of employers use auto-enrollment and 33% use auto-escalation to help employees save consistently and increase contributions over time.

Personalization and Technology Gain Momentum

As employees seek more individualized support, employers are broadening the ways financial guidance is delivered. More than four in five employers (81%) offer self-service financial planning tools, while 68% provide access to one-on-one financial planning appointments and 64% offer retirement plan enrollment and investment selection advice. Nearly half (48%) offer managed accounts advice.

Delivering individualized guidance across large and diverse workforces remains a challenge. Digital platforms, analytics and AI-enabled solutions are creating new opportunities to extend support while helping employees navigate increasingly complex financial decisions.

The Workforce Impact of Financial Stress

About half of employers (45%) report financial wellbeing has increased in importance within their organizations. This finding reflects growing recognition that financial stress influences employee wellbeing, engagement and retention, making it an important workforce consideration.

Employee responses reinforce that connection. Ninety-one percent (91%) recognize a link between financial stress and mental health, and 74% say they make healthcare decisions with finances in mind, underscoring the impact financial pressures have on employees' lives.

Financial Support Extends Beyond Retirement

Employers are extending financial support beyond retirement plans through a range of programs that address broader financial needs. Nearly two-thirds (64%) contribute to health savings accounts (HSAs), helping employees manage healthcare-related expenses. Tuition assistance is also widely available (68%), while 14% provide student loan repayment contributions and another 14% offer student loan forgiveness benefits.

Emergency savings represent another area of financial need, yet formal support remains relatively uncommon. More than half of employees (51%) report having either no emergency savings or less than three months of expenses set aside, while only 5% of employers currently offer formal emergency savings programs.

From Compliance to Optimization

With many mandatory provisions of SECURE 2.0 now part of routine plan administration, attention is turning to the optional features employers may choose to adopt. Currently, about half (46%) have yet to implement optional provisions or are unsure whether they've done so.

"Employers are entering a new phase of financial benefits strategy, one that emphasizes thoughtful plan design, stronger governance and more personalized support," added Tournet. "From retirement readiness to financial wellbeing, helping employees make informed financial decisions has become central to how leading organizations support better employee outcomes."

ABOUT THE REPORTS

Gallagher's 2026 US Workforce Trends Report – Financial Benchmarks reflects survey responses from 3,717 US organizations collected from January through March 2026. It provides benchmarking data and insights across retirement benefits, financial wellbeing and supporting financial coverages.

From January to March 2026, Gallagher's Retirement Plan Consulting team conducted an employee-facing Financial Health Assessment to learn how employees feel about their personal finances today and the financial goals their employers can help them achieve. The survey data encompasses insights from 981 participants, capturing perspectives from those who have access to Gallagher Money Coaching as well as those that do not. The findings help plan sponsors assess their own program engagement, resolve wellbeing and communication gaps and deliver an employee-centric financial wellbeing strategy.

ABOUT GALLAGHER

Arthur J. Gallagher & Co. (NYSE:AJG), a global insurance brokerage, risk management and consulting services firm, is headquartered in Rolling Meadows, Illinois. Gallagher provides these services in approximately 130 countries around the world through its owned operations and a network of correspondent brokers and consultants.

Investment advisory services are offered by Gallagher Fiduciary Advisors, LLC ("GFA"), an SEC registered investment advisor that provides retirement, investment advisory, discretionary and independent fiduciary services. Registration as an investment adviser does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the SEC.  GFA is a limited liability company with Gallagher Benefit Services, Inc. as its single member. GFA may pay referral fees or other remuneration to employees of Arthur J. Gallagher & Co. or its affiliates or to independent contractors; such payments do not change our fee. Neither Arthur J. Gallagher & Co., GFA, their affiliates nor representatives provide accounting, legal or tax advice.

Securities offered through Osaic Wealth, Inc. member FINRA/SIPC. Osaic Wealth is separately owned and other entities and/or marketing names, products or services referenced here are independent of Osaic Wealth. Neither Osaic Wealth, Arthur J. Gallagher & Co., GFA, their affiliates nor representatives provide accounting, legal or tax advice.

CONTACT:
Mary Schwartz, Gallagher
847.378.5893
mary_schwartz@ajg.com

 

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SOURCE Gallagher

FAQ

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What does Gallagher's 2026 Financial Benchmarks Report show about retirement readiness?

Only 28% of employees believe their current retirement savings strategy will enable them to achieve their goals, although 85% of employers offer retirement benefits. Among employees age 55 and older, 30% identify retirement planning as their biggest financial stressor.

Who participated in Gallagher's 2026 employee Financial Health Assessment?

The employee Financial Health Assessment included 981 participants, covering people with access to Gallagher Money Coaching and those without it. Gallagher's Retirement Plan Consulting team conducted the assessment from January through March 2026 to examine employees' finances and the financial goals employers could help them achieve.