Momentum ’s FundsAtWork Umbrella Funds have won the Imbasa Yegolide Awards Fund Challenge in the category ‘Financial Control - Managing Current Expenditure’, with Motheo Financial Dialogues.
The Motheo Financial Dialogues is an innovative financial literacy learning programme that aims to give over 400 000 FundsAtWork members, together with the rest of South Africa, a solid financial wellness foundation. This award, from the Batseta Council of Retirement Funds, recognises fresh, innovative thinking in retirement fund member education.
Katherine Barker, Head of Momentum FundsAtWork, says, “Quality consumer financial education has a big role to play in closing the retirement and insurance gaps. However, many retirement fund members are intimidated and shy away from the technical financial jargon that clutters our complex industry. This is why Momentum developed Motheo Financial Dialogues. Motheo is a Sesotho/Setswana name that means “foundation”. The programme strives to demystify financial planning and enable members to create a solid foundation for their financial wellness journey.”
Wide range of financial literacy topics
To date, some of the financial literacy topics covered by the Motheo series include helping employees to understand their payslip deductions, highlighting the importance of retirement savings, guidance on how to get on top of debt and how to talk to the wider family about money, as well as how to budget.
However, it’s not only the member/employee who benefits from Motheo but also the employer. Momentum’s research confirms that there is a very definite link between an individual’s financial wellness, their physical health and their ability to function optimally when they are at work.
“When employees are empowered with the knowledge and tools to get on top of their money situation, reduce debt and have the peace of mind that their retirement and insurance needs are covered, money worries reduce, physical health improves and employees are more productive. This has a positive knock-on effect on the employer’s bottom-line.”
While this award focuses on how Motheo Financial Dialogues contributes to the financial education and wellness of FundsAtWork members, Motheo’s reach is even further. Using an innovative combination of community radio and listener clubs, Motheo Financial Dialogues has potentially reached a total of 1,676,000 community radio station listeners. Around 6,480 South Africans have also benefited from Motheo through workshops in communities and at NGOs and company worksites.
Lost productivity costs South Africa 2% of its GDP
Momentum’s Effective Employee Index research shows that lost productivity costs South Africa up to 2% of its GDP. Barker believes programmes like Motheo Financial Dialogues can reduce this scary statistic. Motheo not only solves poor financial wellness on individual level, but the impact of collective improvements in financial wellness across employer groups and communities has a positive impact on the nation’s financial wellness.
Momentum’s passionate belief in the role financial wellness plays in strengthening the performance of businesses inspired them to create a programme which actively rewards employers for taking care of employees’ physical and financial wellness needs, which includes financial education. This programme even allows employers to invest the financial rewards they receive in further financial wellness and education initiatives for staff.
Barker concludes, “Financial education programmes such as Motheo Financial Dialogues can play a significant role in closing the retirement and insurance gaps many retirement fund members face. They also are a key productivity driver for employers, and contribute towards building a strong, inclusive South African economy. We are inspired by this award and will continue to extend the scope and reach of the Motheo Financial Dialogues series.”
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