Sep 26, 2024

Is This Your Situation: Employees Keep Asking for Cash Advances

Employees keep knocking on your door, needing a cash advance. You want to help them but it’s a huge headache. Read through to learn about a payroll add-on to help you and your employees.

 

Chances are you have given an employee an advance on his or her pay; but if you haven’t, it may just be a matter of time. Employee advances are something that many employers give regularly to help support employees who have to live paycheck to paycheck.

What is an employee cash advance?

An employee cash advance or a payroll advance is something you as an employer can provide to employees in order to help them smooth out their cash flow. Typically, an employee would request a cash advance from your payroll department with the intention of having the advance repaid on the next paycheck. Unfortunately, this doesn’t always go as planned.

Reconciliation of advances, trying to track down employee payments, and notifying your payroll department of deductions aren't things you should have to worry about. Unfortunately, many employers choose to take on this burden and, in some cases, end up out of pocket for employee advances. That’s right, while you are working hard to reconcile payments and keep track of which employee owes you what, chances are you overextended someone and the risk of them quitting and leaving you with the bill is very real. As a result, only 13% percent of employers give cash advances even though 78% of all employees live paycheck to paycheck.

We have partnered with ZayZoon, a solution that can help your employees and save you a lot of hassle.

How ZayZoon Can Help with Employee Advances

ZayZoon is a financial technology company that was created to help employees get ahead of sudden expenses, protecting and improving their sense of financial wellness. Through partnerships with payroll and employers, ZayZoon gives employees access to their earned wages, well before payday, so they can avoid payday loans and bank overdraft fees. ZayZoon is not a loan, it is a fixed fee service for employees and there are no administration requirements for the employer. ZayZoon assumes the risk of advancing the funds and the administrative overhead of managing cash advances, all at no cost to the employer.

Users can instantly access their wages as earned– 24 hours a day, 7 days a week, 365 days a year and funds can be transferred by ZayZoon to their bank account in seconds. Employers who use ZayZoon find on average 12% of their employees use the service, improving employee wellness, productivity and increasing retention.

Are you ready to change the way you think of payday? Ask us about ZayZoon today!

©2024


 

MORE RECENT NEWS…


Aug 29, 2025

Silver Workers: No Substitute for Experience

Once, employees approaching retirement age could look forward to a long, relaxing post-work life. For much of the 55+ crowd, this is no longer the case, with many forestalling retirement for as long as possible. Read through for advice on employing silver workers in your organization.


Aug 28, 2025

Show Me the Money: Creating a Salary Policy

For any company to treat their employees with respect and fairness, it needs to have a transparent pay equity policy in place that is shared with all employees. Read through to understand why creating pay equity is beneficial to your organization.


Aug 27, 2025

Understanding the New Tax Break for Overtime Pay

Thanks to a new federal income tax deduction provided by the One Big Beautiful Bill Act, many workers who put in extra hours will be able to keep more of their earnings. Read through to see who qualifies, how much could be saved and what the limits are.


Aug 26, 2025

New Federal Tax Break for Tipped Workers

A new federal law may allow millions of tipped workers to keep more of their earnings starting in 2025. Read through to find out who qualifies, how much could be saved and what to watch for.


Aug 25, 2025

Who Can Work in the US?

Did you know that federal and state laws prohibit the use of immigration or citizenship status when making employment decisions? Read through for insights into how to approach immigration-related matters in a lawful way.


Jul 31, 2025

Lose an Employee but Gain Information

Employers conduct exit interviews with departing employees during the final days of offboarding. If done right, these interviews can be a source of valuable information to help the company improve.




More News & Press can be found in our Archive.