What is Earned Wage Access?

Earned wage access (EWA) goes by many names — early wage access, on-demand pay, daily pay benefit — but essentially they all refer to the ability for an employee to access the money they’ve earned before their scheduled payday.

The earned wage access industry is relatively new. Two years ago, very few companies had even heard of it. Today, it’s not a question of whether a company will adopt the benefit but rather when. More employers are considering earned wage access as a benefit for employees, many of whom want greater flexibility in how they are paid. About 25% of payroll professionals said in recent surveys that on-demand pay is a must-have solution for improving the employee experience, which is a top priority in 2020. 

But this isn’t just a trend for the gig economy. Instant-wage access could spread across the income spectrum in the post-pandemic economy.
Because the current lay-offs impact workers with a wide range of wages or salaries, we may see this benefit offered to more employees, including even those with higher incomes.  “The EWA use case is shifting from an individual need to a household need, as more white-collar workers are furloughed or have their salaries cut,” says Jeanniey Walden, DailyPay’s chief innovation and marketing officer.

There are plenty of benefits for both employers and employees and, with the right vendor, there are no costs and no risk involved to companies who choose to offer it.

Benefits to Employers

Let’s start with employers, especially since at the time of this writing, businesses are once again starting to reopen post-COVID. Many employers are looking to offer earned wage access as a cost-containment, voluntary benefit because it’s available from select third-party vendors at no cost. 

According to a PwC employee financial wellness survey, one in four employees have been distracted at work by personal finance issues within the past year. Of those who responded that they were distracted, nearly half spent three or more working hours thinking about or trying to handle or resolve the problem. A Federal Reserve study found that over 40% of adults would not be able to cover an emergency expense of $400 if one arose. 

Financial stress doesn’t just cause a decrease in productivity — it could lead to lower levels of pay satisfaction from employees, increased absenteeism, and increased turnover rates.

Here are some of the benefits employers have experienced as a result of offering a daily pay benefit:

  • 1.9x increased in applicants to a job that offers on on-demand pay benefit
  • 50%, on average, reduction in turnover
  • 49% average increase in employee productivity
  • Ability to fill open positions in more than half the time (52% faster)
  • 26% reduction in absenteeism

In addition, an earned wage access solution can be implemented at no cost to employers and without any changes to current payroll processes, including the timing of funds or withholding of taxes. Offering an on-demand pay benefit solution to employees also increases employee engagement, with 73% of employees stating that their opinion of their employer had improved as a result. 

Benefits to Employees

The benefits of having access to their earned wages are equally impressive for employees. At a time when 78% of all American workers are living paycheck to paycheck, the ability for an employee to access their earned income when they need it, before payday, is essential.

With access to their earned income, employees can close the gap between paychecks, pay bills on time and avoid overdraft fees, late fees and high-interest predatory payday loans. They can also meet unexpected expenses, like emergency medical care and car repairs, reducing financial stress and increasing financial health.

With access to their earned wages, employees can save up to $1,205 per year, on average, in overdraft fees, late fees and fees and interest associated with payday loans. In addition: 

  • 85% of users say access to their earned wages makes them more able to budget and pay large monthly bills like rent, utilities, car payment, etc. 
  • 78% of users say access to their earned wages helps them pay their bills on time and avoid late or overdraft fees
  • 74% of users say access to their earned wages has helped reduce their financial stress
  • 70% of users say access to their earned wages has helped them avoid taking out a payday loan
  • 59% of users say access to their earned wages motivates them to go to work
  • 51% of users say access to their earned wages has helped improve their financial health
  • 50% of users say access to their earned wages has helped  them be more disciplined about spending
  • 46% of users say access to their earned wages has helped them save more

This latest research report, On-Demand Earned Wage Access: U.S. Vendor Comparison, gathered data about key players in the on-demand pay industry, including Acrisure, Blue Yonder, Branch, DailyPay, Dave, Delaget, Earnin, Evolve Bank and Trust, FlexWage, Instant Financial, Kronos, Mastercard, PayActiv, The Clearing House (TCH) and Visa. 

With benefits like these, earned wage access is proving to be a real game-changer for both employers and their employees alike.

What Does the Best Earned Wage Access Provider Look Like? 

Any business that is considering offering a daily pay benefit, needs to do their due diligence when it comes to choosing an earned wage access provider who adheres to rigorous compliance standards

Getting access to earned wages has taken on new meaning during the COVID-19 pandemic, with millions of people scrambling to make ends meet. 

In May 2020, DailyPay enlisted Mercator Advisory Group to conduct a survey of 1,000 U.S. low-income (income less than $75,000/year) salaried workers to determine the value and propensity of this demographic to participate in an on-demand pay (also called earned wage access) solution.

While much has been done to study hourly workers and their vulnerability to financial stress, far less has been done to study salaried workers and how they react to the challenges imposed by unforeseen financial hardships in between paychecks.

This study revealed that, by introducing an on-demand pay benefit, employers can help their workforce reduce the stress associated with paying monthly bills. Most notable and relevant today, nearly half (46%) of those polled are stressed by having to pay monthly medical bills. Allowing workers access to their earned income provides them with financial flexibility, and empowerment over their pay reduces their stress and increases attendance and productivity at work, all at no expense to the employer.

WEBINAR: The Pay Experience: How to Attract Millennials and Gen Z

In this webinar, DailyPay’s Chief Innovation and Marketing Officer, Jeanniey Walden (formerly Jeanniey Mullen) pairs up with Barbie Winterbottom, Chief People Officer of BIC Graphic North America. The information they provide centers around the cultural differences in today’s workforce, and how to attract young people to work at your organization by understanding the lifestyle they’re accustomed to.

Millennials and Gen Z seek meaningful experiences in everything they do, from ordering coffee to receiving health care to their daily work lives. Because of this, these workforce segments have created what has been coined “the experience economy.” Their desire for uplifting experiences over material things pervades their work lives, and work becomes the stage for new experiential offerings. These groups strive for more than work-life balance, they are looking for true work-life integration. Hearing the detailed knowledge Jeanniey and Barbie have to share on this subject will help your organization stay current and relevant.

At DailyPay, the premier provider of the on-demand pay benefit, we have developed a new software category and product platform that will bring tools and skills to the millennial and Gen Z workforce. We call it the Pay Experience™, or PayEx™.

Diving deeper into this “experience economy,” it becomes apparent that a pay experience for employees should be central to this new way of life. Allowing employees to control how and when they get paid creates a simple, intuitive experience within the workplace that mirrors the experience employees are having outside the workplace. Also, the savings feature and financial wellness tips that are included in the pay experience platform can help employees create a stronger financial future, therefore strengthening the employer-employee bond. The best part? You can offer this innovative and unique pay experience to your employees at absolutely no cost to your company.

Tune in to hear two industry experts discuss the details and positive effects of implementing this exciting new benefit.

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Pay Different: Reimagining the Payroll Cycle In Post-COVID Workplace

Recently, DailyPay enlisted Mercator Advisory Group to conduct a survey of 1,000 U.S. low-income (income less than $75,000/year) salaried workers to determine the value and propensity of this demographic to participate in an on-demand pay (also called earned wage access) solution.

While much has been done to study hourly workers and their vulnerability to financial stress, far less has been done to study salaried workers and how they react to the challenges imposed by unforeseen financial hardships in between paychecks.

This study revealed that, by introducing an on-demand pay benefit, employers can help their workforce reduce the stress associated with paying monthly bills. Most notable and relevant today, nearly half (46%) of those polled are stressed by having to pay monthly medical bills. Allowing workers access to their earned income provides them with financial flexibility, and empowerment over their pay reduces their stress and increases attendance and productivity at work, at no expense to the employer.

Access to their earnings, before payday, helps employees to avoid more financially adverse options when they need access to cash, including using credit cards, drawing down savings, incurring overdraft fees and resorting to payday loans — all which can lead to employees incurring high-interest rates, fees and penalties.

Key findings of the survey include:

  • Nearly half (48%) of respondents reported having a shortfall between payroll cycles, at least sometimes
  • 46% surveyed have difficulty paying medical expenses, at least sometimes
  • About seven in 10 reached out to external sources for funding that often incur high fees; among these individuals, many are frustrated with high-interest rates (51%) and fees (26%) associated with borrowing this money
  • 23% incurred an unexpected expense they could not pay
  • Three in 10 report some difficulty in keeping up with monthly expenses

When presented with the option for an on-demand pay benefit, also called earned wage access, respondents saw the value in it and its ability to stop the cycle of debt. In fact, more than half noted they would also use the DailyPay platform to save money and become more fiscally responsible.

  • 34% responded that they would either “definitely use” or “probably use” DailyPay if it were offered to them.
  • When asked about services that could be replaced by DailyPay, respondents indicated the same potentially financially draining options that they reported using to obtain extra money to pay a bill, including check-cashing services, payday lenders and credit cards.
  • 52% noted they would use the “Save” feature that is unique to the DailyPay platform. The “Save” feature allows Daily Pay customers to put away money for future bills and expenses before they even get paid.

Data collected in this survey reveals the critical need for on-demand access to earned pay that Americans face in typical economic times. Imagine how much more access to earned income has meant to workers during the COVD-19 pandemic.

You can review the full study here, DailyPay and the Mercator Advisory Group discussed the results of this survey during a joint webinar. Watch the webinar on-demand here.

Expect Employers to Accelerate New Pay Practices as the Economy Recovers

Since the COVID-19 health crisis began, employers have needed to speed up use of contactless on-demand pay programs (sometimes called earned wage access), according to employee payment leaders speaking during a recent podcast of The Source, by DailyPay.

The pandemic and the resulting economic shutdown is “one of those events where those in HR, Payroll and Finance have had to think through sets of challenges that they never thought through before in their professional careers,” said DailyPay CEO, Jason Lee. Employers can no longer be “looking for a five-year plan for transformation, we are looking at now,” he said.

This has meant the adoption of new pay practices at an accelerated rate.

Even before the coronavirus struck, companies already had started to address the changing pay needs of a tech-savvy generation of younger workers that “actually values pay choice and pay flexibility sometimes more than salary,” said ADP, LLC, Vice President, Future of Pay Jeff Gies. 

“This has driven the need for providing pay choices to workers,” Gies said.

The challenge for employers is closing the gap between the technological tools available on a personal level to deliver experiences instantly, such as ordering dog-walking services via a mobile phone application, and the applications used to pay workers, which have lagged behind, Lee said.

While these other applications are useful and significant, one would argue that “the experience one has with pay is much more important,” Lee said.

Gies echoed the disconnect by noting that one retail chain recently reacted to the customer desire during this health crisis for a contactless pay option, which was implemented, while their workers were still getting paper pay statements, which could potentially carry virus and disease.

Additionally, employers need to recognize there remains a large segment of workers that, prior to the pandemic, had not adopted digital payment methods. These workers are having to, overnight, modify their behavior, and this is uncomfortable for them. Gies asked: “How can employers help people make that transition?”

Both DailyPay and ADP have safe, secure programs that “empower, enable and put the employee at the center,” Lee said. As employers make the transition to digital and on-demand pay quickly, they can be assured that both providers are compliant and are the “gold standard for how we protect that data and keep it secure, and we have redundant systems,” Gies said.

DailyPay, through its pay experience platform, PayEx™ seeks to “leverage technology to be sure that folks are compliant,” while staying behind the scenes, Lee said.

A key issue frequently overlooked before the pandemic struck, but now is a need-to-have for employers, is providing a “core foundation of financial wellness,” Gies said.

As employers scramble to rehire workers and those workers look to climb out of a period of financial hardship, it’s important for employers to provide “simple, real-life, easy ways to put more money back in the pocket” of workers that are living paycheck-to-paycheck, Lee said and “ADP has developed the right kind of programs to fill this need for their clients.”

DailyPay users have access to savings tools in the app, so when they look to access pay, workers can think “I’m getting my pay, and as I’m getting my pay, I’m thinking about my savings,” Lee said. “It has to be easy and native  . . . and in a way it has to be connected to your pay.”

Go to thesource-dailypay.com to hear or watch the entire podcast, and to access previous podcasts that discuss on-demand pay, also known in the industry as early wage access. 

For additional resources on this topic, see:

Pay Different: Reimagining Employee Pay in Light of the COVID-19 Pandemic

Almost two months ago, the world hit pause as restaurants, businesses and office buildings closed, weddings were canceled, airplanes were grounded and cruise ships were put in dry dock. Work from home and social distancing became the new “normal” and Zoom and Google Hangouts replaced conference rooms and in-person meetings. Living rooms became board rooms and bedrooms and dining rooms became offices.

The world as it once was has now changed forever. Our home lives have changed. Our work lives have changed. In fact, work as we used to know it was shattered.

As we begin our recovery, every company has an opportunity to think smarter. To look for ways to do things more efficiently. To rehire furloughed and laid-off workers and ensure that they have a safe workplace where they can be productive once again. To look for cost-effective ways to open up for business once again that will provide benefits to employees as well. One way to do that is through pay.

That is why DailyPay has launched the Pay Different campaign. As companies begin their rehiring efforts, they will be looking for top talent to fill their open positions, and they will all be looking to exactly the same talent pool. To compete effectively and in a cost-saving way, they will need to set themselves apart from the competition by providing valuable employee-centric benefits. They will need to do things better. To do things different. To pay different.

DailyPay’s revolutionary pay experience platform, PayExTM, is the cornerstone of the Pay Different campaign. This on demand pay platform comprises a series of premier capabilities that enable every worker to experience payday on their own terms. It’s a unique approach that brings an antiquated way of paying employees into the 21st century and enriches a company’s employee experience at every stage of the employee lifecycle, from onboarding to departure. 

With access to pay and save on-demand, employees feel more connected and valued at work and, therefore, their productivity increases. According to our research, over 80% of employees report that their satisfaction with their employer has improved since their company offered DailyPay. With PayEx, employees have an opportunity to save money each day and map their route toward fiscal responsibility.

A recent DailyPay research study shows what it means to your employees when you pay different. It also indicates that, on average, employees who use the daily pay benefit, save $1,205 per year because, with greater control over how they get paid, they are able to avoid late fees, overdraft fees and predatory payday loans. Of those we surveyed:

  • 78% say they are avoiding late fees.
  • 74% say that their financial stress is reduced. 
  • 70% say they no longer have to take out predatory payday loans.
  • 85% of those who use a daily pay benefit claim that it enables them to budget and pay large monthly bills like rent, utilities, car payment, etc.
  • 59% say DailyPay motivates them to go to work.

    Source: DailyPay On-Demand Survey 2020 

Offering DailyPay is a cost-saving solution for employers because it costs them nothing. But the RONI (Return On NO Investment) is tremendous for employees and employers. During the COVID-19 pandemic, access to on-demand pay has literally made the difference between putting food on the table or going hungry, paying bills on time or racking up even more debt, getting much-needed medical supplies and attention or watching a loved one suffer. 

And employers who offer a daily pay benefit experience have access to one of the biggest cost-saving plays that results in:

  • On average, a 50% reduction in turnover
  • The ability to recruit and fill open positions in half the time (52% faster)
  • More employees on direct deposit, reducing costs associated with issuing paper checks 
  • Reduced absenteeism because 59% of employees are more motivated to come to work
  • Greater productivity, because 74% of DailyPay users say having access to their earned income has helped reduce their financial stress, making them more productive at work

Source: DailyPay On-Demand Survey 2020 

Want to do right by your employees in the most cost-conscious way? Pay different. They’ll love you for it.

DailyPay will be rolling out a series of new initiatives tied to the “Pay Different” campaign in the coming weeks. Join our webinar on “Rebuilding Trust in the Workplace Post COVID-19” on Tuesday, May 19th from 1:00 – 2:00 p.m. ET.

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DailyPay on Workforce Activity Impact During COVID-19 Crisis

by Alexey Nefedov, PhD, Lead Data Scientist, DailyPay 

UPDATE April 27, 2020

Here’s the latest update on the latest DailyPay Workforce Index statistics: We are seeing a decline in the number of working employees for Call Centers and HospitalsFor QSR, we are seeing signs of a slight increase in the number of working employees.For Supermarkets, numbers for this week look pretty similar to the previous week.On April 22, 11% of all advances that indicated a specified reason were related to COVID-19.

We’d also like to report results from a recent DailyPay survey that indicated that 16% of all respondents applied to their current jobs because they offer DailyPay. Over half of those respondents work in the on-demand space for companies like BiteSquad, EatStreet, Waitr and G4S with the remainder primarily working in health care or home care.

UPDATE April 16, 2020

Here’s the latest update on the latest DailyPay Workforce Index statistics:This week, three industries — Call Centers, Hospitals and Supermarkets — continued to show a decline in the number of working employees.
On April 15, 13% of all advances that indicated a specified reason were still related to COVID-19 crisis.

UPDATE April 6, 2020

We want to provide you with an update on the latest DailyPay Workforce Index statistics: During the past week (Mar 29 – Apr 4), all four industries — Call Centers, Hospitals, QSR and Supermarkets — continued to show declining numbers of working employees.
Call centers showed the strongest, double-digit decline. They were followed by Hospitals, Supermarkets and QSR, which showed weaker, single-digit declining trends.
On April 3, 13% of all advances that indicated a specified reason were related to COVID-19 crisis.

All four industries are showing declines in working employees, due to reasons likely to be caused by direct and indirect impact of coronavirus (layoffs, restructuring, quarantine, sickness and anxiety). While it seems to be counterintuitive that the number of working healthcare employees is declining, we are speculating that many healthcare workers who are not actively engaged in the treatment of COVID-19 patients are asked to stay at home.

Every employer in the United States is taking drastic action when it comes to safeguarding the health and well-being of their employees and their families as we work through the COVID-19 pandemic. We see that this is starting to have a dramatic impact on millions of people in the workforce, especially the hourly worker. I have picked DailyPay partners from four industries — Hospitals, Call Centers, Supermarkets and QSR — as a starting point to determine if there are changes in the hours worked by employees, the number of employees working, and the reasons why these employees are accessing their earned income before their company’s scheduled payday. I want to share some insights with you so you can get a better understanding of the impact this is having on all of us.

Looking at these four industries and DailyPay usage reasons, we are starting to see various changes that differ greatly by industry. We’ve summarized our observations below (fully anonymized), as well as in a report of more detailed industry trends. We expect to refresh this data periodically.

  • This week, all four industries — Call Centers, Hospitals, QSR and Supermarkets — showed double digit decline in the number of working employees in comparison with the previous week
  • Additionally, QSR and Supermarkets continued to show decreasing average hours worked by employees
  • On March 26, 16% of all made advances with specified reason were related to COVID-19 crisis.

To support the ability for all working Americans to have access to funds they need, when they need it, on March 17th, DailyPay announced that we would waive early access fees. We encourage all employers to take actions like these to enable employees to have access to their earned income as it is needed. After all, the shelves at the grocery stores don’t wait for payday.

To help our partners and all employers, we’re hosting a webinar titled, “Supporting Your Workforce’s Financial Security Through the COVID-19 Crisis” on Tuesday, March 24th. We’re in active discussions with the APA and HR associations regarding ways to support all employers and employees through this. We are all in this together. Let’s do something positive for everyone.

Stay safe and healthy. Thank you — Alexey

nefedov

          Alexey Nefedov

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Helping Payroll to Understand On-Demand Pay

With each new survey, employee desire for access to their accrued earnings before payday grows, along with retention rates for employers that implement the #dailypaybenefit. It’s a win-win.

The pressure on payroll professionals to implement on-demand pay solutions for employees comes from HR and compensation, higher-ups in the organization and employees themselves. Because of this, those in payroll are seeing major disruption. As implementers of employer compensation plans, payroll wants to know the provider landscape, ensure their organizations stay compliant, and understand payroll’s involvement in offering daily pay. And they want to know this now!

That’s the message I heard as Lori Brown, CPP with Hanger, Inc., and Bill Dunn, CPP, APA’s Director of Government Relations discussed on-demand pay issues for payroll with me during our January The Source by DailyPay podcast.  

The Spectrum

As a payroll professional, Lori Brown said, “This is the biggest disruption I’ve seen,” in more than 25 years of practicing payroll. She wanted more clarity on the differences among the on-demand pay providers. 

I told Lori and The Source listeners that on one end of the spectrum, there are predatory payday lenders that rely on employee information to provide small loan amounts at very high interest rates. On the other end, there are in-house solutions that use pay deductions that can most complicate existing payroll processes and burden payroll professionals. A number of actors that exist in-between profess to offer the best on-demand solution. There are outsourced and in-house solutions, along with different fee models and repayment mechanisms to consider. 

Note that DailyPay is a fully-compliant outsourced solution that doesn’t interfere with an employer’s scheduled payroll process. Employers offering the DailyPay benefit only provide work information in order for DailyPay to keep track of earnings; payroll runs as usual.

But watch out! Payroll runs as usual for the outsourced model with the least payroll involvement as well: predatory payday lenders. Their model is to get evidence from the employee — not the employer — of their pay, loan them the money, and require the employee to hand over access to their personal bank account for ultra-high interest repayments by debiting the employee’s account directly. 

Requiring access to bank accounts, something that DailyPay doesn’t do, is standard for these operations. This is not a “benefit” provided through employers, but a “scary” payday loan, “which we know is costly and really not a good solution for any reason,” according to Brown. Several payday lenders have moved online and are now disguising themselves as on-demand pay providers, with the blessing even of some employers. 

Also, some models may not charge interest, per se, but retain predatory loan-type features, such as the requirement to access and debit personal bank accounts and the application of fees, even if the employee does not use the service to access their pay ahead of their scheduled payday.  

With DailyPay, there is no requirement to access employees’ bank accounts in order for them to receive an earnings transfer before payday. Those who want to draw on their earned pay simply change their direct deposit instructions. That’s it. 

Other outsourcers rely on the employer to allow specific payments, and later deduct those amounts from the employee’s pay. This can affect the employer’s payroll run, raising compliance issues and adding administrative burden. 

Of course, the most impactful for payroll would be if the employer modified its in-house payroll systems to provide on-demand pay. This most expensive alternative saddles the payroll department with keeping track of all the payments, whenever they occur, and ensuring the employer stays compliant with tax, wage and hour, and garnishment requirements.

For an employee using DailyPay, the process is straightforward. Simply accessing the application interface shows the available earnings balance. The employee then decides how much to transfer, if any.  

The employer processes payroll as they always have, and on payday, meets wage payment obligations by making the direct deposit to the employee’s DailyPay account. DailyPay deducts any amount(s) transferred prior to payday, and an ATM-like fee of either $1.99 (for next day payments) or $2.99 (for instant payments) for each completed transfer. The remainder is deposited to the employee’s personal account(s) — there is no interference with the employee’s personal bank account.

It’s understandable that payroll professionals are wary of on-demand pay solutions because many do not have the best interests of employees in mind, and/or they can cause compliance and additional administrative burdens for employers. Our employer partners know that using DailyPay has no impact on their regularly scheduled payrolls and does not add any oversight to their compliance equation.

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Whose Loan Is It, Anyway?

While paying employees biweekly or semimonthly may be standard practice, it’s time to analyze whom that schedule truly benefits. When employees are not paid immediately for their labor, they are essentially giving their employer a loan for the entire duration of the pay period. And while this schedule may reduce cost, paperwork and simplify processes for the payroll team, it often has the opposite effect for the employees. Although they may have completed their scheduled shifts and earned hundreds or even thousands of dollars during that period, not having access to those funds until payday can be a major cause of financial and emotional stress. 

Beyond just stress, many hardworking Americans also fall victim to overdraft and late fees when they can’t pay bills on time or they find themselves completely helpless in the face of a financial emergency. Unforeseen car repairs, medical bills, veterinary costs or household emergencies can leave someone in a real bind. Those are the times when many hardworking individuals are forced to go to friends and family or even payday lenders for high-interest loans just to survive. Is all this turmoil a fair exchange for reducing the administrative burden of running payroll more frequently?

This is where alternate payment solutions, such as DailyPay, come into the picture. While many people believe that instant pay technology is akin to a loan or a pay advance, it is actually very different. Since users can only pull from funds they’ve already earned, there is no interest and no repayment. DailyPay simply functions as an ATM for an employee’s own earnings. NPR’s Podcast, Planet Money, recently explored how the daily pay benefit is growing in popularity by helping employees navigate this unfair payday structure. You can listen to the podcast here.

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Koinonia Adds DailyPay to Empower and Retain Direct Support Professionals

INDEPENDENCE, Ohio – December 19, 2019 – Koinonia, a leading provider of life-changing services to people with intellectual and developmental disabilities (IDD), has unveiled a new initiative aimed at helping employees gain greater financial flexibility. DailyPay, the leading provider of the daily pay benefit — a benefit offered through employers that allows employees to receive instant access to their earned pay, gives employees the flexibility to make secure, instant transfers of earned but unpaid pay any day of the year, without having to wait until their next scheduled payday.
The partnership will empower Koinonia’s workforce with the financial freedom to access their pay whenever they need money, not just on payday. Direct Support Professionals (DSPs) and other staff members will have the ability to pick up an extra shift and get paid for it the next day, through DailyPay.

“Koinonia’s employees are, hands down, our most important resource and asset and, as employers, we have a duty to care for them,” Diane Beastrom, President & CEO, said. “This benefit encourages people to come to work each and every day feeling engaged because they have more financial flexibility and a safeguard against unexpected expenses.”

With DailyPay, employees may transfer their accrued but unpaid net pay to any bank account, pay card, or debit card prior to their next payday. Koinonia employees can also track their accumulated earnings during each pay period using the available balance feature.

“Any time that we can help employees to stress less about their finances helps our partners in their mission to provide optimal care to those whom they serve,” Jason Lee, CEO of DailyPay, said. “Financial stress has a trickle-down effect, and so does financial security. When employees feel secure about being able to meet their day-to-day living expenses, they are in a position to be more present and more productive in their jobs. And that makes everyone happy — the employees, our partners and our partners’ clients.”

There is no charge for employees to sign up for DailyPay. Similar to an ATM, employees pay a small fee of $1.99 per transaction to receive their funds the next day or $2.99 per transaction to receive their funds instantly.

Fast-pay options are a growing trend in payroll as employers promote the service as a way to reduce turnover and boost morale. DailyPay incentivizes Koinonia employees to work scheduled or additional shifts to increase their pay. The benefit is one of many innovative tools the agency is initiating to engage with the very best candidates who in turn, enable people who have IDD to live their best lives in our community.

About DailyPay

DailyPay, the leading provider of the daily pay benefit — a benefit offered through employers that allows employees to receive instant access to their earned pay, works across a wide range of industries, including quick service restaurants, hospitality, retail, healthcare and other services. One in six Americans now has access to DailyPay through our trusted payroll service partners, including ADP, Paycor, Alight, SmartLinx, Netspend and other HR and payroll technology providers, who offer the daily pay product to their customers. With DailyPay, employees can pay bills on time and avoid late fees, helping them to reach their financial goals. Companies have reported that DailyPay increases employee engagement and retention and helps to support recruitment. DailyPay is backed by leading venture capital firms and world-class strategic investors. The company is headquartered in New York.

For more information about DailyPay, visit dailypay.com or follow @DailyPay on Twitter.

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DailyPay: Making a Difference, Changing Lives Every Day

Here at DailyPay, we love seeing the impact that our solution has on people’s lives. The ability for employees to access their pay early for a simple ATM-like fee helps them to get gas to get to work, pay bills, avoid overdraft fees, and buy groceries to put food on the table for their families.

Often, we receive unsolicited videos from these employees, thanking us for helping them to meet their financial obligations, even giving us specific examples of situations in which DailyPay saved their day!

Every Monday, we receive a new “DailyPay in Action” video that features one of our end-users telling their DailyPay story. These videos keep the team here at DailyPay focused and driven to deliver this life-changing benefit to as many people as we can.

Here are a few testimonials from employees of our current partners, including BrightSpring Health (formerly known as ResCare), CommuniCare and G4S Secure Solutions.

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