Protecting Your Employees from Bad Financial Advice
November 12, 2025 •
Protecting Your Employees from Bad Financial Advice
Why human-led employee education still matters
It’s wonderful to live in a time when answers are just a click away. You can easily find out how many inches are in a meter, get TV show recommendations, and find out where the next Olympic Games will happen. But when it comes to financial advice, the internet becomes a far riskier place.
From TikTok tips to viral Reddit threads, employees are consuming an overwhelming amount of financial content, and not all of it is accurate. In fact, much of it can be misleading, incomplete, or flat-out wrong.
And while younger generations are the most likely to seek out this digital advice, they’re also the most vulnerable to its consequences.
Online financial information is popular
Social media platforms and influencer content is unregulated.
Anyone with a camera and confidence can offer “advice” without any credentials, certifications, or common sense. This opens the door to the kind of misinformation that can lead employees to make costly mistakes.
It’s especially concerning for younger employees. A recent survey found that 49% of Gen Z and 43% of millennials have sought financial advice on social media.
Top sources for digital advice are Facebook, Instagram, TikTok, X, and financial influencers from other platforms.1 This may make them more susceptible to making costly financial decisions, such as buying into much-hyped “get rich quick” schemes, misusing credit, or delaying critical savings milestones like retirement contributions.
The drawbacks of online financial advice
It’s a trade of easy for accurate.
While it’s easy and convenient to look online for financial advice, the information found may be incomplete, misleading, or inaccurate.
“While some platforms have added disclaimers or warning labels on financial advice content…the risk of making misguided investment decisions due to misinformation and fraud is greater than the risk would be if the advice was taken from traditional advice channels. In the first six months of 2023, the Federal Trade Commission reported losses totaling $2.7 billion from investment-related fraudulent scams initiated on social media in the US alone; 37% of those fraud losses were reported by investors aged 20-29,” explained the World Economic Forum. [1]
When your employees receive and act on poor financial information, it can have a detrimental effect on financial wellness. Workers who are financially stressed may become less engaged and less productive – and that can hurt employers.
Pros and Cons of Financial Education Sources
| Source | Personalized to Individual | Risk of Misinformation | Supports Financial Wellness | Looks to Improve Productivity |
| Financial Advisors | Yes | Low | Yes | Yes |
| Social Media & Unlicensed Influencers | No | High | Possibly | Possibly |
The advantages of in-person employee education
Make it personal, make it powerful.
While employees will continue to seek advice online, it’s possible to help them avoid costly errors by offering in-person financial education at work. A licensed financial professional can engage employees through group meetings or one-on-one sessions, and give employees opportunities to:
- Receive personalized financial education from a licensed professional
- Double-check the accuracy and applicability of advice they’ve found online
- Choose saving strategies that reflect their personal finances and goals
- Build financial confidence while improving their financial security
When employers want to deliver financial education that supports financial wellness and retirement outcomes, partnering with a retirement plan advisor makes a real difference.
Advisors can deliver robust financial education programs and fill education gaps with tailored, relatable content that can improve employee decision-making and overall financial wellness.
If you would like a complimentary consultation or a demonstration of our services, please get in touch. We are experienced employee educators who understand the importance of financial wellness.
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About Your HFM Retirement Advisors
We believe that everyone should have the tools and resources necessary to build retirement wealth successfully. At HFM Investment Advisors, we are passionate about:
- Offering fiduciary training and defending against plan risks.
- Empowering your employees to save and better prepare for their future.
- Building effective retirement plans and investment strategies tailored to your specific goals.
As your 401(k) specialists, we take the time to understand your goals and are not afraid to dedicate the time, energy and resources needed to exceed your expectations. Talk to a 401(k) Expert.
[1] Aru Bhat and Sofia Eckrich. “Are ‘finfluencers’ the future of financial advice?” World Economic Forum. July 17, 2024. Cited June 27, 2025.
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