Employees can count on Addition Wealth for free holistic financial planning services – TechCrunch

As companies battle to retain workers amid the ‘big quit’, many are offering enhanced employee benefits. Benefits for financial well-being, in particular, are on the riseAbove all those that provide access to personalized or adapted advice.

Based in New York Extra wealthwhich was released today, speaks to the 87% of American employees who say they want help with their personal finances, according to a 2021 PwC survey. Founded by former Uber Eats cities manager Ana Mahony, Addition partners with employers to provide workers with personal finance tools, community events and professional financial advice.

The full suite of products is free for employees, while companies pay Addition a recurring fee, Mahony told TechCrunch in an interview. Providing Addition’s services only as a package discourages companies from selling their employees individual products, she added.

Addition platform. Picture credits: Extra wealth

Addition launched in the fall of 2021 with its first enterprise client and, according to Mahony, serves several leading tech companies now representing thousands of employees. His goal with Addition is to help customers, regardless of their background, financial goals, or level of wealth.

“Most of the people who can access a lot of this information are either from wealthy circles or they have enough money to be able to pay sophisticated people to help them make these decisions,” said Mahony, who worked in consumer finance before joining Uber. noted. Women and people of color, she added, are disproportionately harmed by a lack of access to financial planning tools — a population she hopes to serve through Addition, who have no financial requirements for that users join.

Financial planning products currently available to individuals are either too generic to be useful or prohibitively expensive if personalized, Mahony said. Addition seeks to fill what Mahony sees as a gap in the market through a combination of self-service technology tools and group and individual advice. Mahony described Addition’s community events as “office hours” for employees to learn about particular topics, while the company also connects users with financial advisors it vets and onboards. platform.

Addition founder Ana Mahony

Founding addition Ana Mahony. Picture credits: Extra wealth

Partnering with companies rather than providing services directly to users, she added, helps Addition create a more personalized offering by leveraging data about companies’ employees and their specific financial needs.

One of Addition’s key differentiators is its deep expertise in helping employees navigate the complexities surrounding equity-based compensation programs, Mahony said. The startup even advertises a solution on its website that helps employees assess the value of the job offers they receive. This expertise has led to strong interest in the product from technology companies, according to Mahony.

The holistic nature of the offer also sets it apart from other solutions, which tend to focus on a singular aspect of an individual’s finances rather than the big picture.

“When you think about where you can traditionally get help, you might have a retirement plan provider that will walk you through how you should allocate your, your 401(k), or even think about before or after tax, but they won’t help you support you on [assessing] your credit card debt or whether you should invest more in retirement,” Mahony said. “In addition to the various topics we help people work through, we also help them make many trade-off decisions.”

Along with its public launch, Addition announced that it has raised $4 million in seed funding led by Nyca Partners, with participation from venture capital firms including Core Innovation Capital, Barclays’ Female Innovators Lab and Anthemis, Fin Venture Studio. and others. Angel investors who helped found fintech companies Acorns, Affirm, Betterment and Revolut also participated in the round, the company said.