Get paid early: every option explained (including if an employer isn’t involved)

When employees need money before payday, it isn’t a sign of being bad with money. 

It’s a symptom of a mismatched financial system. Bills, emergencies, and everyday expenses hit in real time, but paychecks don’t.

Fortunately, employees have some options to bridge the gap between paychecks. While the best bet is on-demand pay, also known as earned wage access (EWA), we’ll take a look at a few options. 

Why the two-week pay period is outdated and doesn’t fit.

The traditional bi-weekly or semi-monthly pay cycle wasn’t designed to help workers; it was designed decades ago for administrative and payroll convenience.

When an unexpected expense hits, the time lag between paychecks can lead to major financial stress. 

Historically, workers trapped in this cycle had to rely on predatory options:

• Overdraft fees: Costing an average of $27 per transaction.¹
• Predatory payday loans: Trapping borrowers in cycles of debt with exorbitant fees.

Option 1: On-Demand Pay through an employer.

Industry leaders across all industries can partner with an on-demand pay provider to offer this financial wellness benefit to their employees. 

How to check if an employer offers on-demand pay.

1. Search employer benefits portal:  Employees can log in to their company’s HR or onboarding platform and search for terms like “DailyPay,” “on-demand pay,” or “earned wage access.”
2. Ask HR directly: A quick check with the HR department can help verify if an employer offers on-demand pay. 
3. Check the partner directory: Employees can visit get.dailypay.com and enter an employer’s name to see if they are an active partner. 

Option 2: Early direct deposit from banks.

If an employer doesn’t offer on-demand pay, employees may be able to access their pay up to two days before their typical payday. 

However, unlike on-demand pay, there’s typically less flexibility with timing. 

Many modern online banks and traditional credit unions now offer early direct deposit as a standard account perk.

Option 3: Cash advance apps.

Cash advance apps also provide access to money before payday, but carry more limitations and drawbacks. 

They don’t integrate with an employer’s payroll and since it isn’t money you’ve already earned like on-demand pay, it’s an estimated advance and can lead to issues with overdrafting, subscription fees, or more strict caps. 

What to avoid: Costly ‘early pay’ traps.

When employees are stressed about an upcoming expense, it is easy to grab the nearest available lifeline. 

However, several options marketed as “fast cash” are predatory traps designed to get employees stuck in a debt cycle. Avoid the following avenues at all costs:

• Predatory payday loans: These loans regularly carry massive interest rates, with the typical APR coming in at up to 664%.²  
• Credit card cash advances: Credit card companies offer a cash advance option, but this can also be costly. Fees typically come in at about 5% or $10 and the average APR is 29%.³ 

The most sustainable solution is utilizing true, employer-backed on-demand pay or transitioning to an employer that offers it.

How to get an employer to offer on-demand pay.

If an employee’s company doesn’t offer an employer-sponsored on-demand solution like DailyPay, there are some potential options available to change that. 

Employers are actively looking for ways to support their staff without impacting their budgets. Employees can advocate for the benefit by following these steps:

1. Highlight that on-demand pay is a valuable benefit.

When speaking to their company, employees can present on-demand pay as a modern workplace benefit that helps the entire team. 

2. Share the business case.

Employers care about retention, hiring speed, and productivity. Let them know that offering an on-demand pay solution provides substantial business advantages.

• Simple implementation: 86% of clients said DailyPay was easy to implement.⁴
• Improved hiring: 36% of employers who implemented EWA have done so to improve recruitment and talent attractiveness.⁵
• Higher retention: 68% of users say they are more likely to stay at a job that has DailyPay.⁶

3. Mention seamless integration.

A common reason HR departments hesitate to add new perks is the fear of administrative headaches. Remind them that DailyPay seamlessly integrates with more than 180 leading payroll systems and offers full implementation and customer support, meaning their day-to-day payroll stays exactly the same.