Unplanned and unexpected expenses can sneak up on anyone, and without a plan in place, it can be overwhelming. And stressful.
And that financial stress shows up in the workplace. It affects focus, absenteeism, turnover, and even how they make decisions at work
With a Workplace Emergency Savings Account Program, a path to reducing or removing that stress is built.
At Midwest Supplemental Partners, we help guide employers to establishing a Workplace Emergency Savings Program to create a financially resilient workforce.
A workplace emergency savings account (ESA) is an employer-sponsored benefit that helps employees build savings for unexpected expenses like car repairs, medical bills, or temporary income loss. Unlike retirement plans, ESAs are designed for short-term financial stability. Employees typically save automatically through payroll deductions, and many employers encourage participation with matching contributions or incentives.
According to the Federal Reserve, 37% of adults couldn't cover a $400 emergency with cash (2025 data) Source
A Workplace Emergency Savings Account is a meaningful mechanism that supports your employees when unexpected financial stress hits.
But it provides even more than that:
With more than 30 years in human resources, business leadership, and helping people navigate important life decisions, I understand how financial protection impacts both families and livelihoods.
When we work together, you can expect:
Our goal isn't simply to help you purchase coverage.
It's to help you make a thoughtful decision you'll feel confident about for years to come.
A workplace emergency savings account (ESA) is an employer-sponsored benefit that helps employees build savings for unexpected expenses like car repairs, medical bills, or temporary income loss. Unlike retirement plans, ESAs are designed for short-term financial stability. Employees typically save automatically through payroll deductions, and many employers encourage participation with matching contributions or incentives.
For out-of-plan workplace emergency savings programs (ESAs), which sit outside ERISA retirement plans, employees enroll in seconds and choose a flat post-tax payroll deduction. Funds are deposited into savings accounts held at FDIC- or NCUA-insured partner financial institutions. Employers may contribute incentives or matching funds to encourage saving. Employees can withdraw money anytime without fees or penalties.
Workplace emergency savings programs offer several advantages over retail savings accounts:
• Automatic payroll deductions
• Employer contributions or incentives
• No ChexSystem checks or minimum balance requirements
• Equal access to competitive interest rates, with no caps
• Integration with employer benefits systems
• Higher participation due to behavioral design
• HR workforce analytics on program performance for employer
These features help employees build savings more consistently than saving independently while also providing measurable ROI for employers.
In-plan emergency savings accounts (PLESAs) were created by the SECURE 2.0 Act and are attached to retirement plans like 401(k)s. These accounts have specific regulatory limits and are managed by retirement plan recordkeepers.
Out-of-plan emergency savings accounts (ESAs), operate outside retirement plans and outside ERISA, offering more flexibility in contribution amounts, employer incentives, and savings goals. They are designed specifically to help employees build liquid savings they can access at any time.
Planning for long-term care isn't about expecting something bad to happen.
It's about preparing thoughtfully so that you have more choices, greater confidence, and financial protection if life takes an unexpected turn.
Whether you're just beginning to explore your options or you're ready to compare solutions, we'd be honored to help you understand what's available and find an approach that fits your goals.
