The consequences of financial worries can be significant. People with a low income (up to 125 percent of the poverty line) more often avoid social activities, generally sleep worse, sometimes have to skip meals, or live in fear, for example of being evicted.

Moderate to severe financial worries

A survey by research agency Ipsos I&O - among 408 single workers with a low income aged between 25 and 65 - shows that four out of ten people have moderate to severe financial worries. Only half know where to get help with financial worries.

People with financial problems can in some cases make use of special assistance, have their municipal charges waived, or apply for allowances and minimum schemes. Workers with a low income relatively use these schemes less because they think they are not meant for them or because they are afraid of having to repay money. In the Ipsos I&O survey, 35 percent of single workers indicated they were afraid of this, especially people between 25 and 35 years old.

Employees below or just above the poverty line also often work relatively few hours. Most cannot work full-time, for example because they are studying, caring for family, or due to illness.

State Secretary Jurgen Nobel (Participation and Integration): By working more hours, many people can escape poverty. But that is not possible for everyone. Work must pay off, and schemes to help workers with financial worries must be simpler, without people having to fear repayments. I am working on this together with municipalities.

Preventing larger debts

By offering early help to workers with financial worries, larger debts can be prevented. Therefore, the Ministry of Social Affairs and Employment is launching the Step to Help campaign, which encourages workers with a low income to contact Geldfit. This organization helps people with financial stress to check if there are funds they are not yet using and discusses their money concerns.

In addition, the ministry sees a larger role for employers in having conversations about the work situation and referring to help. Employers can quickly see if someone has financial worries, for example because wages are garnished due to debts, or if an employee has multiple jobs to make ends meet. There may also be absenteeism due to illness. An employer can lose an average of 13,000 euros annually due to an employee with financial worries.