Is an Annual Wellness Plan or a One-time Challenge Right for Your Organization?

When it comes to employee wellness, companies often face a choice: invest in an annual wellness program (also known as a continuous program) or launch a one-time challenge.  Both approaches have their merits, but one is significantly more effective at creating lasting change. 

A one-time wellness challenge can feel like a quick win for employee engagement—individuals track steps, swap healthy meals, and join mindfulness sessions with enthusiasm. For employers, these challenges offer a cost-effective option, require less commitment than annual programs, and minimize procurement work during vendor setup. However, when the challenge ends, participation often declines, and employees revert to old habits. Without consistent reinforcement, the impact is short-lived. 

An annual wellness program, on the other hand, focuses on long-term impact, embedding well-being into company culture year-round. By promoting healthy habits over time, it supports sustainable behavior change, keeps employees engaged, and ensures wellness becomes a lasting priority. For many organizations, this long-term commitment provides better value and stronger results. 

What Does an Annual Wellness Program Look Like? 

An annual employee wellness program is a year-round initiative designed to support well-being across multiple dimensions, including physical, emotional, intellectual, social, spiritual, occupational, financial, and environmental. Unlike one-time challenges that focus on short-term participation, annual programs provide continuous opportunities for engagement, education, and incentives, promoting lasting healthy behaviors. 

A successful annual wellness program often includes: 

• Wellness activities (e.g., fitness challenges, mindfulness sessions, stress management workshops) 
• Health education and resources (e.g., webinars, newsletters, health coaching) 
• Ongoing participation incentives (e.g., points-based/tiered reward systems, wellness stipends) 
• Company-wide initiatives (e.g., monthly wellness themes, team competitions, recognition programs) 
• Mental health and work-life balance support (e.g., employee assistance programs, financial and mental health resources, flexible work arrangements) 

Pros vs. Cons of an Annual Wellness Program

Annual wellness programs offer long-term benefits, including continuous engagement, personalized support, and a lasting impact on employee well-being. These programs foster a culture of health within the organization and provide opportunities for ongoing feedback and adjustments. However, they do come with higher upfront costs, require greater commitment, and involve more administrative effort compared to one-time challenges. 

Pros of Annual Wellness Programs 

• Consistency and long-term impact: Ongoing engagement fosters lasting behavior changes by promoting healthy habits throughout the year, rather than just for a short time. 
• Personalized support: A dedicated Customer Success Manager works closely with your organization year-round, gaining a deep understanding of your needs. This allows them to tailor the program based on feedback and continuously provide more customized support. 
• Cost-effectiveness: An annual wellness program is more cost-effective because it spreads the investment over a longer period. The consistent structure means there’s less need for frequent setup or planning costs, which can add up with single challenges. Additionally, with long-term programs, employees have more opportunities to form lasting habits, resulting in a higher return on investment in terms of employee health and productivity. 
• Enhanced company culture: An annual wellness program keeps well-being at the forefront of employees’ minds, positively influencing company culture by making wellness a constant focus rather than a temporary initiative. 
• Continuous feedback and customization: With regular feedback from participants, annual programs allow for ongoing adjustments, ensuring the program stays relevant and effective for the organization’s specific needs. 

Cons of Annual Wellness Programs

• Higher initial investment: The upfront cost for an annual program can be more expensive compared to one-time challenges. 
• Requires more commitment: Employees and employers must commit to a longer-term engagement, which can be a challenge if there isn’t buy-in across the company. 
• Administrative effort: Managing a year-long program requires more coordination and effort from both the organization and the provider. However, once the program is established, it becomes a streamlined process of regular execution with minimal adjustments, making the ongoing management more efficient. 

What Are Examples of One-time Wellness Challenges?

One-time wellness challenges are short-term initiatives designed to engage employees in healthy activities for a set period (typically a few weeks to a couple of months). These challenges are often used to boost morale, encourage participation, or test the waters before committing to a long-term program. While they may not create lasting behavioral change, they can be a fun and motivating way to promote well-being. 

Examples of one-time wellness challenges include: 

• Step Challenge: Employees track their steps using fitness apps or wearable devices, competing individually or in teams to achieve a step count goal. 
• Hydrate For Health Challenge: Participants aim to meet a daily water intake goal and engage with practical tips focused on hydration to help them determine their unique fluid needs. 

• Nutrition Ambition Challenge: Employees engage in daily healthy eating habits and submit a photo of a nutritious dish they prepared and enjoyed. 

• Mental Health Matters Challenge: Participants learn important information about mental health and earn points for practicing daily Self-Care Activities designed to strengthen their mental health. 
• Sleep Tight Tonight Challenge: Employees improve their sleep hygiene by viewing educational sleep videos and practicing healthy sleep habits on a daily basis. 

These challenges are often easy to implement and can serve as a low-commitment way to engage employees in wellness initiatives. However, their impact may be short-lived without a long-term wellness strategy to reinforce healthy habits. 

Pros vs. Cons of One-Time Wellness Challenges 

One-time wellness challenges can be an exciting way to kickstart engagement and introduce employees to workplace health initiatives. However, while they offer some advantages, they also come with limitations, especially when compared to a more structured, long-term program. 

Pros of One-Time Wellness Challenges 

• Lower upfront cost: These challenges can be a cost-effective option for organizations that want to test wellness initiatives before making a long-term investment. 
• Quick and easy implementation: With minimal planning, HR teams can roll out a simple challenge using fitness apps, step-tracking tools, or internal participation incentives. 
• Short-term engagement: Employees often enjoy the competitive, social aspect of challenges, leading to an initial surge in participation and morale. 
• Low commitment “trial run”: A one-time challenge allows companies to gauge employee interest and gather feedback before investing in a year-round program. 
• No long-term vendor contracts: Organizations that want to avoid vendor procurement hurdles can run challenges in-house or with minimal third-party involvement. 

Cons of One-Time Wellness Challenges 

• Limited impact on long-term behavior change: Since these challenges last only a few weeks or months, they may not create sustainable habits or meaningful improvements in employee well-being. 
• Engagement drop-off: Participation tends to be high at the start but can decline once the challenge ends, making it difficult to maintain momentum. 
• Minimal customization: Organizations that want to tailor wellness initiatives to different employees’ needs often find that one-size-fits-all challenges don’t provide enough flexibility. 
• Lack of depth: Employees may see one-time challenges as temporary or surface-level if they aren’t tied to a broader wellness strategy. 
• Repeated planning and promotion: Unlike an annual wellness program that runs continuously, HR teams must frequently create, promote, and manage new challenges to keep wellness initiatives fresh. 

Annual Wellness Programs Are the Preferred Choice 

While one-time wellness challenges have their place (especially as a low-barrier way to spark engagement), an annual wellness program offers a more strategic and sustainable approach to workplace well-being. A short-term challenge might generate excitement for a few weeks, but without continued support, employees often revert to old habits. 

In contrast, a year-round program fosters long-term behavioral changes, making wellness an ongoing priority rather than a passing trend. These programs build a culture of health, demonstrate authentic care for employees, and result in measurable well-being improvements. 

An annual wellness program can also make more sense from a financial perspective. While the upfront investment may be higher, the long-term benefits (e.g., reduced healthcare costs, lower absenteeism, increased productivity) often outweigh the costs and provide strong returns on investment.  

Beyond the financial advantages, an annual program serves as a centralized hub for employee wellness. It provides a consistent platform to incorporate other company initiatives, such as existing events, benefits navigation, or external wellness resources, creating a seamless experience for employees. With features like on-demand classes, live events, and health coaching, the program becomes a go-to destination for employees to engage with wellness at any time. This centralized approach encourages ongoing participation and reinforces a culture of well-being by making support readily available whenever employees need it. 

Ultimately, organizations looking to make a real impact on employee health should view wellness as a long-term commitment rather than a one-time event. A well-designed annual program builds healthier habits, creates a supportive culture, and ensures that employee well-being remains a priority all year long.