About Financially Fit Minnesota

What?

Financially Fit Minnesota is an initiative of the Itasca Project* and seeks to improve the long-term economic stability of Minnesota by increasing the financial fitness of individuals and families in our community.

Employees sometimes aren’t getting the full advantage of their benefits and struggle with financial issues. This can be especially true for people who are minorities, young or earn lower incomes. There are wide ranging problems in personal finance, including soaring debt, foreclosures, bankruptcies, historically low savings rates and increasing use of payday lenders. These issues are reported as significant challenges right now and could be getting worse.

We’re calling on Minnesota employers to respond by promoting the practical, focused actions outlined here. These will help maximize the value of the benefits they provide to employees, close the gaps in participation rates and assist employees in becoming more financially fit.

*The Itasca Project is an employer-led alliance working to strengthen the region's economic competitiveness and quality of life.

How?

Financially Fit Minnesota (FFM) offers employers a program with supporting data, helpful tools and best practice examples to help address this issue. Support from community-based non-profits, as well as opportunities to share ideas with other participating employers, are available to boost employer efforts.

FFM has many suggestions for improving employee financial fitness, but our biggest priority is to significantly increase employee participation in direct deposit and retirement savings. Opening a bank account and saving money are two great ways to put families on stronger financial footing. We also offer ideas and resources to encourage employees to take advantage of the financial education programs in our community.

As an employer participating in Financially Fit Minnesota, you decide how to increase employee participation in your company’s direct deposit, retirement savings or both. With the help of FFM and other participating organizations, your company will develop and implement a plan to achieve the goals you set.

Why?

Financially Fit Minnesota follows the proud tradition of Minnesota corporate leaders addressing unmet community needs with action.

Participating in FFM will benefit your organization by:

  • Reducing payroll costs through the use of direct deposit, while increasing the number of employees using banks and credit unions
  • Reaching 401(k) participation rates that demonstrate non-discrimination or that meet safe harbor requirements in the 2006 Pension Protection Act
  • Improving the stability of your workforce by attracting and retaining employees
  • Reducing stress in the workplace related to employee financial difficulties
  • Increasing the likelihood that employees are financially ready to retire
  • Improving the economic stability of your employees and of our community
  • Bringing positive public recognition to your company

We’re planning for a remarkable impact.

  • If all Twin Cities employees participated in direct deposit, it would save employers $21 million per year and employees $58 million per year.
  • If all Twin Cities employees participated in retirement plans, nearly 600,000 more residents would participate. If each person saved $1,000 per year with a 50 % match, this would mean $900 million per year toward the region’s future economic security.

Who should join?

All employers in Minnesota are invited and encouraged to join this movement.

When?

Financially Fit Minnesota publicly launched in the spring of 2008, enjoying endorsement and support from the Mayors of Minneapolis and St. Paul, as well as the Governor of Minnesota. Financially Fit Minnesota will be a sustained multi-year effort to make substantial and measurable change benefiting employees across the region.

See the Partner List for the organizations who have joined FFM to improve their employees’ financial fitness and assist other organizations in reaching their goals.

Your organization will be listed when you become a partner of Financially Fit Minnesota!